Distinguished Mayor Gong Zheng,

Distinguished guests,

Ladies and gentlemen, 

Good morning.

It is a great pleasure to join you today in Shanghai, a vibrant city that has built its reputation not just on great ambition, but on its ability to turn that ambition into reality.

Throughout its history, Shanghai has been at the forefront of China's economic transformation.

Today, it is once again helping to shape the future, this time through its efforts to advance sustainable development.

Indeed, the theme of this year’s Expo, "Zero-Carbon Transformation, Empowered by Key Factors," could not be more timely.

Around the world, governments, businesses, investors, academia, and communities increasingly recognize the need to accelerate the transition toward a low-carbon future.

The question is no longer whether this transformation is necessary, but rather how we make it happen at the scale and speed required.

This brings us to the critical role of green investment and finance.

As we gather here today, global progress toward the Sustainable Development Goals (SDGs) – our shared blueprint for people, planet, and prosperity, remains off track.

Climate change continues to intensify and biodiversity loss is accelerating.

Meanwhile, governments are under growing fiscal pressures, and developing countries in particular face significant headwinds in mobilizing the resources needed to address worsening development challenges.

Yet the problem is not actually a shortage of capital.

Globally, trillions of dollars are invested every year. The challenge is ensuring that more of this capital flows toward sustainable development outcomes.

This requires investment-ready pipelines, credible and data driven risk frameworks, and trusted intermediaries that can connect global capital to local opportunities.

Currently, however, there remains a gap between ambition and implementation.

Closing this gap is one of the defining challenges of our time.

As the United Nations’ development agency with field presence in about 170 countries and territories, we are helping to eradicate poverty, reduce inequalities and exclusion, and build resilience so countries can sustain progress.

Over the past five years, UNDP has worked closely with partners across China including the government from national to local levels, to advance climate action, biodiversity conservation, and sustainable finance.

Together, here in China and across the globe, we have supported policy development, piloted innovative financing mechanisms, strengthened capacity-building and public awareness, and helped bring together governments, financial institutions, the private sector and more.

From this experience, we have learned that truly lasting change requires systemic transformation.

Allow me to share five observations on key elements of success - for your kind consideration.  

First, the critical importance of strong policy and regulatory frameworks that provide clear, coherent and consistent directions and incentives.

 Second, standards and disclosure systems that increase transparency, strengthen confidence, and build trust among investors and stakeholders.

Third, exploring new and innovative financial instruments that help channel capital toward sustainable development objectives, including green bonds, carbon markets, blended finance mechanisms, and innovative insurance products.

Fourth, a strong pipeline of investable projects. Capital can only flow when there are credible opportunities that are aligned with development priorities and capable of delivering measurable results.

And finally, partnerships that bring together public and private actors, connecting local priorities with national and international opportunities.

When these elements work together, sustainable finance can move from isolated transactions to a systemic transformation that drives sustainable development impact at speed and scale.

This is precisely why the Shanghai experience is important and has lessons to be shared with the global community.

As China's leading international financial center and one of the world's most dynamic innovation hubs, Shanghai has already established many of the foundations needed to lead in the next phase of sustainable finance development.

The city has been at the forefront of green finance reforms and climate investment initiatives.

It hosts the pilot zone for green finance reforms and the climate investment and finance pilot.

It has also introduced pioneering policy frameworks, including the Pudong regulations which represent China’s first green finance legislation with biodiversity considerations incorporated into them.

And it continues to strengthen the institutional architecture needed to support sustainable investment.

These achievements are significant not only for Shanghai, but for China and the wider region.

Indeed, there is an important opportunity to build on the progress made by strengthening connections between domestic innovation and the global community.

This also means integrating standards with global frameworks, increasing transparency and disclosure as well as developing stronger pipelines of investment-ready projects.

What is certainly clear is that the sustainable finance innovations developed in Shanghai can contribute to strengthening mutual knowledge and experience sharing between China and partner countries on best practices and lessons learned.

This is also where UNDP can contribute as we work around the world to  translate sustainability commitments into practical action.