Taiwan Depository & Clearing Corporation

Under the guidance of the Financial Supervisory Commission (FSC) and the Central Bank of the Republic of China (Taiwan), the R. O. C Bills Finance Association (the Association) and the Taiwan Depository & Clearing Corporation (TDCC) have jointly promoted the Sustainable Commercial Paper principle. On December 9, a Sustainable Commercial Paper Ceremony was held at the Grand Mayfull Hotel Taipei. Ms. Hsou-Yuan Chuang, Vice Chairperson of the FSC, and Mr. Tzung-Ta Yen, Deputy Governor of the Central Bank attended the ceremony, symbolizing the official launch of sustainable product in Taiwan’s money market in addition to sustainable bonds in the capital market. This milestone completes Taiwan’s sustainable finance landscape and carries landmark significance for the sustainable development of Taiwan’s financial market.

The ceremony was themed “Advancing Green Transformation, Realizing a Sustainable Future,” echoing the FSC’s 2017 Green Finance Action Plan and the 2024 Green and Transition Finance Action Plan, and highlighting the development of diverse sustainable financial products. In Taiwan’s bills market, more than 5,000 companies issue commercial paper, the majority of which are small and medium-sized enterprises. Given the short maturities of commercial paper, enabling short-term funding to support long-term ESG investment needs—and thereby introducing green financial products into the money market—poses a significant challenge. In her remarks, FSC Vice Chairperson Hsou-Yuan Chuang expressed special appreciation to the Association and TDCC for fully integrating short-term funding instruments—commercial paper—with sustainability objectives, a development of profound significance for Taiwan’s market.

The Association’s Chairman Wea Chi-Lin stated that, in order to develop green finance in Taiwan’s money market, the Association and TDCC have jointly launched the Sustainable Commercial Paper principle. Through self-regulatory rules established by the Association and the information transmission and disclosure platform built by TDCC, the framework ensures rigor and transparency while aligning with international sustainability standards. TDCC Chairman Dr. Bing-Huei Lin noted that, to facilitate the issuance process of sustainable commercial paper for bills houses and enterprises, TDCC provides stable and efficient back-end services. From the submission of project plans, evaluation reports, and post-issuance reports, to underwriting review and confirmation by bills houses, to final disclosure to investors, all processes are completed through TDCC’s platform. With the joint efforts of the Association and TDCC, and under the guidance of supervisory authorities including the FSC and the Central Bank, Taiwan’s money market has, for the first time, introduced green financial products. In terms of sustainable commercial paper, this initiative is also a world first.

Since the sustainable commercial paper service launched on October 20, the first issuances have included green commercial paper and social commercial paper. Issuing companies include Run Long Construction Co., Ltd, Oriental Green Materials Ltd., Far Eastern Apparel Co., Ltd., and Treasure Dragon Corp., while underwriting bills houses include International Bills Finance, Mega Bills Finance, Taiwan Bills Finance, and Ta Ching Bills Finance. A number of banks have also shown strong support by investing in and holding these products. As of December 8, the outstanding issuance balance totaled NT$4.207 billion. In addition, several other enterprises are preparing for issuance. These developments demonstrate that sustainable commercial paper can effectively support corporate transformation and the practice of responsible investment. Together, sustainable financial products in the capital and money markets form a complete picture that will propel Taiwan into a new era of sustainable finance.

For more information on Sustainable Commercial Paper, please visit:

•FSC Sustainable Finance Website: https://esg.fsc.gov.tw

•R. O. C Bills Finance Association Sustainable Commercial Paper Section: https://www.tbfa.org.tw/MemberCompanyZone/MemberCompanyZone.htm

•TDCC Introduction to Sustainable Commercial Paper Services: https://www.tdcc.com.tw/portal/zh/bonds/sdb

•TDCC Sustainable Commercial Paper Statistics: https://www.tdcc.com.tw/portal/zh/tcWeb/qualified_agency