Media release
For immediate release

Biggest year ever for green bonds$36.6 billion of green bonds issued - more than triple 2013 issuance.
Growth driven by corporate and municipal bonds.
London, 14th January 2015 - Following a landmark green bond growth year in 2013, the labelledgreen bond market has once again experienced a year of incredible growth in 2014 according to datafrom Climate Bonds Initiative released today. By year-end there had been $36.6bn of green bonds
issued by 73 different issuers – more than triple the 2013 issuance. The final figure was boosted by alate flurry of green municipal bonds.

This exponential growth takes the total amount of green bonds outstanding to $53.2bn by the endof 2014.
What happened to cause this tripling of issuance? In 2014 corporate and municipal bond issuersjoined the ‘green party’ while development banks continued to be the backbone of green bondissuance.

Development banks continue to dominate green bond issuance, led by the EIBThe big development banks still account for the majority of issuance with 44% ($16bn) of total green
bond issuance in 2014. This is split amongst new green bond issuers and the veterans (EIB, EBRD,World Bank and IFC).

New entrants to the market were mainly national development banks that had been waiting in thewings for the right moment to issue a green bond. These include banks such as Germany’s KfW,France’s AFD and Netherland’s NWB Bank.
In addition to new issuers, we saw a diversification in product types with the World Bank issuing aseries of retail investor focused green bonds, as well as green bonds across 6 different
currencies. EIB continued to be a prolific issuer of green bonds (although they call them Climate
Awareness bonds) and ended the year on top of the issuer table, across all issuer types, with $5.6bn
green bonds issued in 2014.
Overall top 10 green bond issuers of the year (by amount issued in USD):
IssuerEuropean Investment Bank (EIB)KfW
GDF Suez
World BankToyota
AfD
Iberdrola
Unibail-Rodamco
Ile de France
Hera SPA

2014$5.6bn$3.5bn$3.4bn$3.1bn$1.75bn$1.3bn$1bn$1bn$829m$680m

First green asset-backed securities brought to market by Toyota
A new type of green bonds also came to the market; Toyota kicked the year off with a $1.75bn green
asset-backed bond in Q1. This bond showcased how proceeds from a bond backed by car leases andloans can be earmarked for future green vehicles.
Green corporate bond issuance was the biggest catalyst for the market explosion
Green corporate “earmarked” bonds helped create depth in the green market. Not only did thecorporates bring scale, accounting for $12bn issuance, but they also offered a range of currencies both great for liquidity in the market.

The largest corporate deal of the year was GDF Suez’s $3.4bn green bond (split into a EUR 1.2bn and
EUR 1.3bn tranches) with proceeds going towards renewable energy and energy efficiency projects.
As the corporate green bond market matured, we also saw a move down the ratings with NRG
Yield (rated Bb1 by Moodys) and Abengoa Greenfield SA (rated B by S&P) bringing high yield greenbonds to the market in Q3.

Banks leveraged their green loan portfolios to ramp up green bond issuance to US$1.2bn
For example, Credit Agricole CIB used their green loan book to back $478m green retail bonds forJapanese investors over the year. An important step as banks play a crucial role in the capital
pipeline by providing loans and project financing to green issuers and projects.
After a successful inaugural bond, NRW, the German regional bank, chose to get a second opinion on
its next offering, which proved its green credentials. NAB (National Australia Bank) took it a stepfurther with its inaugural green bond having certification against the Climate Bond Standard.
US municipal green bonds drove the muni market share of green bond issuance to 12%
Green city bonds became popular mid-year with issuances from the Swedish City of Gothenburg andSouth Africa’s City of Johannesburg. Gothenburg was a trailblazing green city issuer with repeatedgreen issues through the year, while Jo’burg was the first to show how green bonds can work for
emerging market issuers.
We also had other types of municipal issuers: In the first two quarters of 2014, Ile de France brought
EUR 850m ($1.3bn) of green bonds to market. But it was first in the second half of 2014 when thegreen municipal market really started to heat up with Ontario and 11 different US States bringing awide range of green bonds to market.

Ending the year on a high---------------------------------------------ENDS--------------------------------------------For more information or to arrange interviews, please contact:
Rozalia Walencik, Communication, rozalia@climatebonds.net +44 772 382 8954
Sean Kidney, CEO, Climate Bonds Initiative, sean@climatebonds.net, +44-75-2506-8331
About Climate Bonds Initiative: The Climate Bonds Initiative is an investor-focused not-for-profit. It is
the only organization in the world focusing on mobilizing the USD 100 trillion bond market for climatechange solutions. www.climatebonds.net @ClimateBonds---------------------------------------------EXTRAS--------------------------------------------Notes on the figures:

Currency exchange rates are taken from the last price on the date of issuance.
Some issuances fall on the cusp of the year in which case we use the announcement date asrecorded on Bloomberg to determine its quarter.
Additional taps of bonds are included dependent on tap announcement date
$36.6bn is the labelled green bond total – this means that the issuer has self-labelled thebond as green in a public statement or bond document.

Bloomberg New Energy Finance’s 2014 green bond total is $38bn but it includes unlabelled ABS orproject bonds. If we include CBI’s list of project bonds, which total $2.5bn in 2014, to our greenlabelled figure we make it $39bn.
This difference in the end total is likely to be around how we carve up the numbers. CBI uses theBloomberg announcement date for inclusion in the 2014 figures.
Top 5 unlabelled project and ABS bonds with proceeds for green from 2014:
IssuerWind Energy Transmission
XINGY 2014-2 A
AVR Afvalverwerking BV
Northland PowerCGN Wind Energy Ltd

Amount issued –Project Bonds or ABS$490m
CNY 2.76bn ($450m)
EUR 300m ($374m)
CA$ 232m ($206m)
CNY 1bn ($160m)