Temasek’s sustainability chief on raising investor interest in Asia

Global investors often prefer to put their money in markets they are familiar with, so speeding up the flow of capital for sustainable investments in emerging markets like Asia would require the development of innovative financial tools.

- Audrey Tan Assistant News Editor and David Fogarty Deputy Foreign Editor

Capital is in many ways like water, flowing to where there is least resistance, says Ms Park Kyung-ah, the chief sustainability officer of Singapore's investment company Temasek.

(PHOTO: TEMASEK)

“Most often, people like to go to familiar markets. If they can make the same return, then it’s a lot easier than going to a new market,” said Ms Park Kyung-ah, the chief sustainability officer of Singapore’s investment company Temasek.

She was talking to The Straits Times in the latest episode of Green Pulse, an environmental podcast series, that aired on Oct 21.

According to a 2024 report by the International Energy Agency, the Southeast Asian region attracted only 2 per cent of global clean energy investment despite accounting for 6 per cent of global gross domestic product, 5 per cent of global energy demand and being home to 9 per cent of the world’s population.

But Ms Park said investors can be encouraged to invest in emerging markets if there are financial instruments they are familiar with.

She cited the infrastructure asset-backed securitisation efforts by Clifford Capital, one of Temasek’s portfolio companies, as one example of this.