In response to the risk posed by climate change and to achieve the policy goal of net-zero emissions by 2050, the Financial Supervisory Commission (FSC) released the Green and Transition Finance Action Plan in October 2024. Marking the plan’s first anniversary, the FSC has announced eight key achievements, with a target of reaching NT$6 trillion in green and sustainable investment and financing by 2030. This demonstrates the FSC's commitment to channeling financial resources in support of a low-carbon industrial transition.
First, on the financing front, as of the end of August 2025, financial institutions' green credit balance amounted to NT$1.96 trillion, sustainability-linked loans totaled NT$1.85 trillion, and a total of 277 domestic sustainable development bonds had been issued (amounting to NT$812.1 billion). The insurance industry's investment in renewable power plants reached NT$58.9 billion, bringing the total to NT$4.68 trillion, or 78 percent of the 2030 target. This reflects the financial sector’s proactive efforts and strong momentum in supporting the low-carbon transition.
Secondly, the FSC, in collaboration with the Ministry of Environment, Ministry of Economic Affairs, Ministry of Transportation and Communications, Ministry of the Interior, and Ministry of Agriculture, jointly announced on 31 December 2024 the second edition of the Taiwan Sustainable Taxonomy as well as the Suggested Elements for Transition Plans. These provide a concrete framework for industries to pursue a low-carbon transition and for financial institutions to engage in green and transition investment and financing. To help enterprises and financial institutions better understand the content and practical application of the Taxonomy, the FSC has held 18 outreach sessions and continues to collect feedback to further refine the guidance.
Third, on the data front, to help financial institutions assess climate physical risks and enhance their risk analysis capabilities, the Joint Credit Information Center (JCIC) established the Climate Physical Risk Information Integration Platform for the Financial Industry. In April 2025, the platform added J14 Factory Location Climate Risk Data and GIS query services. These enable financial institutions to search regional climate risk values by location to improve analytical accuracy. In addition, to meet the financial industry's need for information concerning the financial impact of nature-related occurrences, the JCIC set up a Section on Nature-Related Physical Risk Data for the reference of financial institutions.
Fourth, on transition risk, as of the end of September 2025, the Taiwan Stock Exchange (TWSE) and the Taipei Exchange had urged 1,646 listed companies to disclose greenhouse gas inventories, achieving a disclosure rate of 88 percent, with all 278 companies subject to mandatory disclosure having completed reporting. Meanwhile, banks have requested their corporate clients to complete ESG questionnaires providing information on Scope 1 and Scope 2 emissions. As of the end of August, the JCIC had collected data from banks on 3,946 enterprises (Accounts are consolidated under the same company name).
Fifth, on the disclosure front, all listed companies are required to file sustainability reports this year. To streamline preparation and reduce compliance costs for financial institutions, starting in 2026, the subsidiaries and sub-subsidiaries of financial holding companies may consolidate their sustainability reports into their parent companies’ ones. The FSC also encourages financial institutions to disclose Scope 3 financed emissions in their reports or related documents, to specify the methodology, database(s), and calculation boundaries adopted, and to present clients' transition-finance and emissions-reduction results in anonymized or aggregated form to enhance transparency and the sustainability impact.
Sixth, on the capacity-building front, the Sustainable Finance Certification was launched in the first quarter of 2024, followed by the offering of both basic and advanced competency courses. In addition to six written examinations held annually, a computer-based testing system was introduced in July 2025 to enhance convenience and broaden participation, thereby strengthening the sustainable finance expertise of the financial sector. As of the end of September 2025, 39,757 individuals had passed the basic competency test (78 percent of whom were financial industry practitioners), while 894 had obtained advanced certification.
Seventh, on the ecosystem front, the Coalition of Movers and Shakers on Sustainable Finance, composed of six financial holding companies (Yuanta, CTBC, E.SUN, Mega, First, and Cathay), convened the Financial Industry Net-Zero Working Group in 2025. The Working Group has led the financial industry in drawing on experiences of international initiatives, digitalizing the reporting process of carbon-emission inventory information, analyzing the strengths and weaknesses of financial institutions in their net-zero efforts, enhancing the Climate Physical Risk Information Integration Platform, collecting data on nature-related financial impacts, issuing guidelines for promoting the Sustainable Finance Certification, showcasing Taiwan's achievements in green and transition finance, and strengthening communication between the financial sector and relevant ministries to support industries’ transition toward net zero.
Eighth, the evaluation results of the Sustainable Finance Evaluation (2024 edition) were published at the end of 2024, covering the top 25 percent of institutions in the banking, securities, and insurance sectors. The 2025 edition kicked off its preliminary assessment in May 2025, with results expected to be released in the first quarter of 2026. The indicators for the 2026 edition will be announced soon, and the FSC has enhanced the integration, analysis, and search functions of the evaluation information platform.
Achieving net-zero emissions by 2050 is Taiwan's clear and unwavering sustainability goal. The FSC says that it will periodically review and refine relevant supporting measures in line with international trends and domestic industry needs, strengthen inter-ministerial and cross-industry collaboration, mobilize additional financial resources toward critical transition sectors, and promote an orderly transition, in partnership with all stakeholders toward Taiwan’s national goals of net-zero emissions and sustainable development.
Sources: Financial Supervisory Commission
