Green Bonds
April 2024 – Green Bonds, also called Climate Bonds, are a type of debt instrument issued by governments and corporations to finance projects with positive environmental impacts, such as pollution mitigation, resource conservation, renewable energy generation, and waste management. There are many benefits to green bonds, such as government policy support, tax incentives, Return on Investment (ROI), pollution reduction, climate change mitigation, and new job creation. However, there are challenges, such as lack of global market standards, lack of extensive disclosure and reporting, and low investment revenue. In 2015, ahead of Conference of the Parties (COP21), green bond issuance was recognized by the United Nations Framework Convention on Climate Change (UNFCCC) as a climate action. Climate bond initiative is an organization that mobilizes global capital for climate action. The United Nations Environment Program (UNEP) is actively promoting green funding to align with the Sustainable Development Goals (SDGs).
In this slideshow, you will learn about the definition, benefits, drivers, challenges, UN policy, and global statistics of Green Bonds and Sustainable Bonds.