BONN - On the margins of the United Nations climate talks in Bonn, the Green Finance Committee (GFC) of the China Society for Finance and Banking and the European Investment Bank (EIB) on Saturday launched a White Paper that provides an international comparison of several green bond standards.

Introducing the White Paper, Yin Yong, deputy governor of the People's Bank of China (PBoC), said that "the report provides a basis for future international cooperation on improving green finance definitions and standards with a view to facilitating cross-border green capital flows".

Development of green finance is a priority for China and China is now the world's largest green bond market. However, the lack of clear definitions in some markets and the lack of comparability of different definitions in different markets are barriers to future growth of the green finance market and green capital flows, said Ma Jun, special advisor to PBoC Governor and chairman of GFC.

"This White Paper reflects the strategic partnership between China and the European Union to promote international cooperation in this area," Ma said.

"Strengthening investment in green finance is essential to support sustainable growth, improve environmental protection, and implement the Paris Agreement. The Green Finance White Paper published today will strengthen investor confidence and enhance transparency of green finance," said Jonathan Taylor, EIB vice-president.

In March 2017, the PBoC and the EIB announced the establishment of a joint green finance initiative to translate green definitions between China and those in the European market. Such a translation can help avoid duplication of verification and certification, and assist in reducing costs of green bond issuance, according to the EIB's press release.

The GFC was established in April 2015 with the approval of the PBoC. The committee is a non-for-profit professional organization dedicated to research and coordination of green finance initiatives of member institutions.

The EIB is the world's largest lender for climate related investment and pioneered the green bond market in 2007 by issuing the world's first green bond. Since then the EIB has issued 20 billion euros in green bonds, branded as Climate Awareness Bonds, according to the EIB press release.