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Popularity of Green Bonds Surges

| 2021-04-21 < 1 min read

Popularity of Green Bonds Surges

Reading Time: < 1 minute

Sustainable-bond issuance surged to a record high in the first quarter as more countries and companies looked to tap into growing demand from investors across the globe. Environmental concerns have risen for many investors in recent years as the world steps up its transition to a low-carbon economy, while the COVID-19 pandemic has put a renewed focus on health and rectifying broader social inequality.

Data show that “green bonds,” where the money targets an environmentally friendly project, saw their highest issuance, of USD 130 billion, followed by social bonds, at USD 91.3 billion, and sustainability bonds at USD 43 billion. This dynamic is likely to continue over the coming years and experts expect a significant growth in these bond markets.

In Hungary, the Hungarian Central Bank (MNB) has repeatedly drawn attention to climate change and has been urging financial institutions to play a bigger role in tackling the crisis and issue bonds to finance sustainable development goals. MNB has organized an online conference this week to promote its green policies, partly devised in cooperation with Greenpeace Hungary.

source: Napi.hu