SINGAPORE, May 20 (Reuters) - Singapore bank DBS, Standard Chartered, Singapore Exchange, and state investor Temasek Holdings said on Thursday they are teaming up to develop a global exchange and marketplace for high-quality carbon credits.
The moves come as companies globally are under increasing pressure to reduce carbon emissions and lay out sustainability plans. But as they pledge to reach net zero emissions, they will need to buy or generate carbon credits to offset the emissions they are unable to cut from their operations.
Climate Impact X (CIX), the proposed Singapore-based exchange and marketplace, is a joint venture between the four companies and is expected to be operational by the end of 2021, executives told a news conference.
CIX aims to capitalise on Singapore’s reputation as one of the world’s leading financial and trading hubs, supported by a strong regulatory framework. (Reporting by Anshuman Daga: Editing by Neil Fullick)