Non-financial corporates have played a significant role in the growth of green bond issuance, contributing a substantial portion of the overall market. In 2023, non-financial corporates contributed 29% of the green bond volume, marking them as a major issuer type in this sector. Similarly, in the first quarter of 2024, non-financial corporates were responsible for approximately 37% of the aligned green bond issuance. This indicates that non-financial corporates continue to be vital in advancing green financing strategies, reflecting their commitment to sustainable projects and environmental goals.
Key Points:
- Market Share: Non-financial corporates consistently hold a significant share of the green bond market, often around or above a quarter of total issuance.
- Diversification and Growth: These corporates have diversified across various sectors and geographies, contributing to the overall growth of green bond issuances.
- Sustainability Commitment: By issuing green bonds, non-financial corporates signal their broader commitment to reducing environmental impacts and transitioning towards more sustainable practices.
- Examples of Notable Issuers: Companies like Pattern Energy in the USA have emerged as significant players, issuing substantial amounts for projects like renewable energy infrastructure.
Overall, the participation of non-financial corporates in the green bond market highlights their crucial role in channeling capital towards environmentally sustainable projects and supporting climate change mitigation efforts.
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