(Bloomberg) -- Japan will introduce environmental, social and governance considerations for foreign reserves held by the finance ministry, reflecting a need to seriously tackle climate change in order to achieve the country’s 2050 carbon neutral goal.

The decision to include ESG as a factor for foreign asset holdings is a first for a Group of Seven nation, Finance Minister Shunichi Suzuki said Friday. The ministry didn’t disclose the amount of funds that will be affected.

“Globally there are various climate measures being introduced ahead of the United Nations climate change conference,” said Suzuki, speaking to reporters in Tokyo. “There’s increasing interest in ESG from institutional investors.”

Instead of shifting the existing portfolio, ESG will become a new factor to be considered for all new foreign asset investments, the Finance Ministry said in a statement. It said investment into ESG bonds will likely increase as the ESG bond market expands.

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