SEC Issues Draft Rules on PHL Green Equity

The Securities and Exchange Commission (SEC) has issued a framework for green equity offerings to provide companies with greater visibility of their activities that make substantial contribution to an environmental objective.

- By Richmond Mercurio

The commission has come out with the draft rules that will govern the issuance or designation of green equity in the Philippines.

The SEC said the guidelines were developed based on global principles and may be amended as the market develops, or due to regulatory changes.

By coming out with the green equity guidelines, the SEC aims to promote the visibility and attractiveness of companies that actively support green activities and initiatives.

"By identifying and recognizing businesses aligned with environmental and sustainability objectives, the green equity label aims to direct capital flows toward enterprises that contribute to building a climate-resilient and low-carbon economy, thereby supporting the country's broader goals for sustainable development," it said.