On April 28, 2023, IENE released its Briefing Note No. 15 entitled “Sustainable Financing Through Green Bonds” which was sent to its Members on the same day. Green bonds play an increasingly important role in raising green debt and in the financing of assets needed for the low-carbon transition. On April 28, 2023, IENE released its Briefing Note No. 15 entitled “Sustainable Financing Through Green Bonds” which was sent to its Members on the same day. Green bonds play an increasingly important role in raising green debt and in the financing of assets needed for the low-carbon transition. At the same time the use of ESG criteria is becoming more and more relevant for project investment worldwide, highlighting the role of green bonds. Having kicked off in 2007 and really starting to take off in 2014, cumulative green bond issuance to date amounts to US$ 2.203 trillion, while 2023 issuance until the end of January stood at US$ 25.3 bn.
Despite the fast growth of the green bond market, it is clear that it is still far from reaching the level of necessary investments for clean technology applications and circular economy, not only in the SE European region but also globally. On the other hand though, there is plenty of room for further development, since the market for green bonds still remains a very small fragment of the global debt, even when unlabeled green bonds are considered. Thus, it is clear that there is huge potential for the green bond market expansion.
Apart from the global green bond activity over the last two years (2011-2022), the latest IENE Briefing Note focuses on the prospects for issuing green debt in SE Europe. In SE Europe, an issuance market for green bonds does not actually exist, with only a small number of private sector companies and financial institutions having issued green bonds, but there are great prospects as the region is fast moving towards decarbonization and RES and energy efficiency projects are constantly increasing.
It is worth noting that on April 5, 2023 IENE organized a special event in Athens on “Green Financing Opportunities in Greece and SE Europe” (here). The conference was held in partnership with the Climate Bonds Initiative (CBI) and under the auspices of the British Embassy in Athens. This latest IENE event focused on exploring the potential for financing green projects in Greece and SE Europe. Keynote speakers included senior executives from the energy and banking sector from Greece and abroad, actively engaged in green financing. In addition, IENE is a certified Green Bond Verifier by CBI since 2020.
IENE’s latest Briefing Note can be found here.
