Financial TimesFinancial Times

Japan moves to fill Asia’s $40tn energy funding gap in China’s stead

By Kana Inagaki

04 Oct 2022 · 3 min read

Editor's Note

Japan wants to compete with China in 'green financing' projects to mitigate the climate crisis in South East Asia. FT analyses this development and how practical it is.

Japan is ready to exploit a sharp decline in China’s overseas lending by helping Asia-Pacific countries address the $40tn cost of combating climate change.

Asia accounts for roughly half of global carbon emissions and is home to the world’s youngest generation of coal power plants. Rich nations have been accused of not providing enough financial support to help developing countries make a green energy transition.

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