Sustainable Debt Market
Summary Q3 2023
Supported by the GB-TAP,
International Finance Corporation

November 2023

Key figures• By the end of Q3 2023,
the Climate Bonds Initiative(Climate Bonds) had recorded
cumulative volume of
USD4.2tn of green, social,sustainability, and sustainability
linked (GSS+) debt inalignment with its screening
methodologies (aligned),plus a further USD12.7bn inunscreened bonds bearing
the transition label.
• Year-to-date (YTD), aligned
GSS+ bonds (includingtransition) accounted for
USD618.2bn, recording a
10% decline as compared
to USD685.8bn for the same
period in 2022.
• Aligned GSS+ as apercentage of total issuancevolume remains at 5%.
• Aligned GSS+ debt for Q3 2023
accounted for USD169.1bn, an
Aligned 13% year-on-year(YoY) drop compared to
the USD195.8bn recorded
for Q3 2022.
• Cumulative aligned green
bond volumes brokethrough the USD2.5tn markin Q3, reaching USD2.6tn.
• Spotlight on the
Middle East and Africa

Scorecard: GSS+ debt recorded by
Climate Bonds
Q3 2023
USDbn

Cumulative since2006% totalUSDbn% totalUSDbn% total

Green

110.6

65

415.0

67

2613.062Social

27.4

16

95.8

16

762.7

19

Sustainability

22.1

13

88.8

14

764.2

18

SLB

8.6

5

16.8

3

42.5

1

Transition

0.7

0.4%

1.7

0.3

12.7

0.3

169.5

100

618.2

100

4228.1100

Total

GSS+ bonds captured by Climate Bonds
inclusion are classified as pending until
sufficient disclosure is available to decide.

Bonds meeting the requirements outlined in
Climate Bonds screening methodology qualify
for inclusion in the datasets and are classified
as aligned.
Labelled bonds for which there is not enoughinformation to determine eligibility for database

Bonds failing to meet the requirements of
Climate Bonds screening methodology areclassified as non-aligned and are excluded
from the datasets.

AlignedPending

Cumulative as of 30/9/2023

Non-aligned

4.2tn

102.1bn

917.6bn

YTD

616.5bn

92.6bn183.6bn

Q3

168.78132.8bn43bn

Cumulative aligned GSS+ debt reached USD4.2tn at the end of Q3
4

Cumulative GSS+ volume

3

2
USD Trillions

At the end of Q3 2023, Climate Bonds had captured
GSS+ volume of USD4.2tn, which has originated fromsupranational plus 103 countries. Supranational
remains the largest source of aligned GSS+ volume(USD660.7bn), with the USA (USD612.6bn), France(USD488.2bn), and China (USD431.28bn) being thelargest country sources. Other than China, South
Korea (USD149bn) and Chile (USD53.4bn) are
the only emerging markets (EM) to appear in the
top 15 most prolific countries. In all three cases,
strong policy support has contributed to thegrowth of robust local and international markets.

2023 YTD

1

0
2006- 2014
2013

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative

2015

2016

2017

2018

2019 2020

2021

2022 Q1-Q3
2022

Source: Climate Bonds Initiative

1

700
600
500
400
300

Ita
Sw ly
ed
e
Ca n
na
da
Ch
i
No le
rw
ay
Ot
he
r

ra
n

UK
Sp
ai
n
Ja
pa
n

na
l
US
A
Fr
an
ce
Ch
Ge inaNe rm
th anye
So rla
ut nd
s
h
Ko
re
a

0

1000

USD618.2bn of aligned GSS+ debt was priced in
the first three quarters of 2023, remaining at 5% of
total debt issuance.1 The green theme contributed
67%, social bonds added 16%, sustainability
bonds 14%, SLBs 3%, and unscreened transition
bonds made up the final 0.3%.

800
600

Quarterly comparisons

In Q3 2023, GSS+ volumes came from eight
issuer types, dominated by the private sector.
Non-financial corporates made the largest
contribution with USD64bn across 240 deals
followed by financial corporates with USD39.4bn
from 185 deals. Among the public sector issuer
types, government-backed entities made thelargest contribution with USD24bn.

100

Source: Climate Bonds Initiative

Green bonds contributed 64% to aligned volume in 2023

Year to date GSS+ volume

Green

SocialSLB

Sustainability
Transition

400
USD Billions

Aligned GSS+ volume reached USD172.2bn
in Q3, a decline of 23% compared to Q2(USD225.2bn), and a decline of 13% comparedto Q3 2022. YOY there was a drop in aligned
deals originating from development banks andgovernment-backed entities.

200

at
io

USD billions

Government-backed entities (USD997.2bn),
financial corporates (USD946.8bn), nonfinancial corporates (USD895.0bn) anddevelopment banks (USD698bn) are the sourceof 84% of cumulative GSS+ volume. Amongthe government backed entities, the largest
issuers of aligned GSS+ debt were the European
Union (USD164.6bn), French social security
provider Caisse d’Amortissement del la Dette
Sociale (CADES) (USD158.6bn), and Fannie
Mae (USD117bn). The sovereign issuer type has
contributed 10% to total GSS+ volumes, which
as highlighted in prior iterations of this paper,suggests substantial potential considering
sovereign debt is responsible for around two
thirds of the overall debt market.

Supranational is the largest source of aligned GSS+ volume

Sup

Aligned GSS+ deals have been priced in 61
currencies. Most the volume has either been in
EUR (41%) or USD (32%), with CNY as the third
most dominant currency responsible for just 8%.

200
0
2018

2019

2020

2021

2022

Q1-Q3
2023

Source: Climate Bonds Initiative

Aligned GSS+ volume declined in Q3
250
200

Q1

Q2

Q3

Q4

150

USD Billions

100
50
0
2019

2020

2021

2022

2023
Source: Climate Bonds Initiative

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative2

Germany was the largest source of aligned green debt in Q3 2023
25
20

• By the end of Q3, Climate Bonds
had recorded cumulative aligned
green bond volumes of USD2.6tn,
breaching the USD2.5tn milestone.

15
10
5

• EUR dominated the green bond market in
Q3 with a 37% market share followed by USD
23% and CNY contributing 8%. EUR is thecurrency of choice for 47% of cumulative green
bond volumes reflecting the high number ofdedicated investors in the region.
• Aligned green bonds captured in Q3 2023
originated from 41 countries. Germany was
the largest source with volume of USD17.7bn
split between 35 deals. The most prolificcountry by deal count was the USA with 322
amounting to USD15.5bn.

• Aligned social bonds recorded in Q3 2023 reached
USD27.4bn, a drop of 30% against the USD38.9bn
recorded in the same quarter a year earlier.

HKD
4%

rs

Ot
he

Ita
ly

ce

n

Fr
an

Sp
ai

Ja
pa
n

ia
Po
la
nd

In
d

USD dominated alignedsocial volumes in Q3

40% of aligned sustainability
volumes were priced in USD

Others
11%

BRL
8%

MXN
6%

USD
38%

Others
8%
USD
40%

JPY
11%

KRW
16%

MXN
12%
EUR
25%

Social• YTD aligned social bond volumes were USD95.8bn,
a 25% drop compared to the USD127bn recorded
for the first three quarters of 2022. Social bondvolumes experienced a YoY increase of 1500% to
USD248bn in 2020 in response to the COVID-19
pandemic and have declined annually thereafter.

UK

Source: Climate Bonds Initiative• Renew Power (India) priced an INR640bn(USD7.8bn) loan, the largest volume of green
debt from a single entity in Q3.

• Cumulative aligned volumesof social bonds had reached
USD797.3bn by the end of Q3.

Ch
i

Ge
r

m

an

• Q3 aligned green bond volumes exhibited anegligible (0.5%) decline on the prior year to
USD110.6bn compared to USD111.2bn in 2022.

na

0%

y

• YTD aligned green bond volumes were 3%
ahead of the same period in 2022, reaching
USD415bn compared to USD402bn a year ago.

USD billions

Green

US
A

Q3 2023market highlights

EUR
22%

Source: Climate Bonds Initiative

months of 2023, a decline of 38% comparedto the USD143.3 recorded during the same
period of 2022. This was exacerbated by an
85% drop in the volume of aligned deals
recorded from supranationals to USD7.3bn
in the first three quarters of 2023, compared
to USD47.6bn a year ago. Brazil, Mexico, andJapan demonstrated the largest increases.

Source: Climate Bonds Initiative• Q3 sustainability bond volume declined by 50%
to USD22.1bn, compared to USD44.3bn in Q3 2022.
• USD made largest contribution with 40% of thealigned sustainability bond issuance followed
by EUR 22% and JPY 11% of issuance.
• The Development Bank of Japan issuedaligned volumes of USD3bn making it largestaligned sustainability issuer in Q3 2023.

Top ten country sources of aligned sustainability debt Q1-3
USDbn 2022

USDbn 2023

Percentchange YOY

EM

5.9

10.7

80%

Japan

DM

5.3

9.0

69%

Supranational

N/A

47.6

7.4

-85%

France

DM

9.0

6.4

-29%

USA

DM

18.6

6.3

-66%

Sustainability

South Korea

EM

10.5

5.2

-50%

• Cumulative aligned sustainability
volumes had reached USD762.7bn
by the end of Q3 2023.

Thailand

EM

6.8

4.7

-31%

Brazil

EM

1.3

3.9

200%

Spain

DM

3.4

3.5

5%

Germany

DM

4.1

3.0

-27%

• CADES maintained its reputation as the largest
issuer of social bonds with a single USD4bn
deal accounting for 14% of the total in Q3 2023.
• The CADES deal contributed to the USD
claiming the top currency spot in the social
theme with 38% of the aligned volume,
followed by EUR 25% and KRW 16%.

• Aligned sustainability volumesof USD88.8bn were recorded in the first nine

Country source

Market Type

MexicoSustainable Debt Market Summary Q3 2023 Climate Bonds Initiative3

Sustainability-linked bonds

The Climate Bonds SLB Database• By the end of Q3 2023, Climate
Bonds had recorded aligned
SLB volume of USD42.5bn. This
includes deals falling into the fullyaligned, strongly aligned, andaligning categories.

Climate Bonds had recorded cumulative SLB
volume of USD252bn at the end of H1 2023.

The Methodology organises SLBs into
four categories:

This underscores the rapid growth in thislabel since the first deal was priced in 2017.
Historically, Climate Bonds recorded, but
did not screen, SLB deals; however, since
publishing its SLB Database Methodology(SLBD Methodology) in June 2023, which has
been applied retroactively, the total aligned
volume has decreased to USD42.5bn at theend of Q3 2023.

1. Fully aligned: SLB targets cover all material
sources of emissions and are aligned with therelevant pathway.

• In the first three quarters of 2023, USD16.8bn
of SLB volumes were recorded as aligned, anincrease of 59% compared to the USD10.6bn
recorded in the same period in 2022. Thissuggests that more issuers are coming to themarket with relevant deals that closely matchthe inclusion criteria of the Climate Bonds
SLB database.
• In Q3 Climate Bonds recorded SLB volumeof USD18bn, but just 14 deals amounting to
USD8.6bn qualified as aligned.

Most of the cumulative SLB
volume is not aligned with
Climate Bonds Methodology
Aligning 2%

2. Strongly aligned: SLB targets cover allmaterial sources of emissions and will bealigned with the relevant pathway by 2030.
3. Aligning: SLB targets cover all material
sources of emissions, are aligned with thepathway on a % reduction basis, and the issuer
has the basic tenets of a transition plan.
4. Not aligned: SLB targets fail to meet
any of the above criteria, or do not meetthe other requirements detailed in the
SLBD Methodology.2

Fullyaligned
14%• Chile made the largest contribution to aligned
SLB issuance with USD5.2bn spread over four
sovereign deals.
• EUR was the preferred currency in Q3 2023 with
43% of the SLB volume, followed by USD at
28%, and CLP (Chilean Peso) 25%.
• In Q3 2023, aligned SLBs originated from only
three regions. LAC topped the table with USD5.1bn
followed by Europe with USD3bn and AsiaPacific with a small contribution of USD305m.

Not
Aligned84%

CLP made the third largest
contribution to aligned SLBs

Source: Climate Bonds Initiative

JPY
4%
CLP
25%

Transition
EUR
43%• By the end of Q3 2023,
Climate Bonds had recorded
cumulative volume of
USD12.7bn in bonds bearing
the transition label.
• YTD issuance accounted for USD1.7bn
compared to USD2.7bn in the same
period of 2023.

USD
28%

Source: Climate Bonds Initiative• Three deals captured in Q3
amounted to USD738.7m and came fromSnam SPA (USD528m), Nippon Yusen KK(USD141m) and Mitsubishi Heavy
Industries Ltd (USD68m).

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative

Climate Bonds has historicallyrecorded but not screened bonds
bearing the transition label. Climate
Bonds records such bonds as anindependent category but regards themas a sub-set of the green label. As ofJanuary 2023, Climate Bonds will notdelineate bonds issued with a transition
label. They will be added to the Climate
Bonds Green Bond Database andscreened according to its Green Bond
Database Methodology.

4

In Q3, USD21bn of aligned sovereign volume
was recorded by Climate Bonds. This was
split between taps of USD12.7bn from six
issuers, and new deals worth USD8.2bn fromthree issuers.
In August, Austria priced
another green three-monthtreasury bill. The EUR1.5bn(USD1.7bn) deal will berolled over in November.
Austria is the only sovereign
to have issued short term paper bearing athematic label.
Chile priced its first SLB in
March 2022 and published its
updated SLB framework in
June 2023. A KPI on female
board representation wasadded to the existing pair ofenvironmental KPIs related to GHG emission
reduction targets and renewable energy share.3
Later that month, Chile priced three SLBs:a USD1.2bn maturing in 2036, a USD1.1bn
maturing in 2054, and a EUR750m (USD814m)
nine-year deal. The following month, the USD
SLBs were both reopened adding USD500m
and USD380m respectively, and Chile added its
first local currency SLB, a CLP1.75bn (USD2.1bn)
instrument with a 2037 maturity.

Largest nonsovereign issuersin Q3 2023
Green
The two largest aligned green
deals priced in Q3 were bothgreen loans. Indian clean energy
provider, Renew Power, accepted
an INR640bn (USD7.8bn) green loan
from Power Finance Corporation (PFC) and
Rural Electrification Corporation (REC) eachof which provided half of the capital.4
The UoP were earmarked for Low-Carbon
Energy including solar, wind, hybrids, energy
storage, solar module/cell manufacturing, andgreen hydrogen. Canadian gas and low-carbon

Cumulitive aligned sovereign GSS+ volumes
350

DM USDbn

EM USDbn

Number of countries

35

300

30

250

25

200

20

150

15

100

10

50

5

0

0
Green

SocialSustainability

Number of countries

At the end of Q3 2023
Climate Bonds hadrecorded aligned GSS+
bonds from 49 sovereigns
with a combined volumeof USD435.5bn, a 36%
increase YTD. Green is the largest segmentwith USD348.3bn (80%), and France retaining
its crown as the largest source of aligned
GSS+ sovereign debt with USD66.3bn incumulative volume.

USD Billions

GSS+ Sovereigns

SLB
Source: Climate Bonds Initiative

New aligned sovereign GSS+ deals priced in Q3 2023
Theme

Country

Maturity

Currency

Amountlocal

USD amount added
to relevant database

Green

AustriaNov-23

EUR

1.5bn

1.7bn

Sustainability

Mexico

2035

MXP

1.8tn

1.4bn

SLB

Chile

2037

CLP

1.8tn

2.1bn

Chile

2036

USD

1.2bn

1.2bn

Chile

2054

USD

1.1bn

1.1bn

Chile

2034

EUR

750m

814m

Chile has now priced USD43.1bn of aligned
thematic debt and is the only sovereign to haveissued under all four thematic labels.
In July, Mexico returned tothe sustainability bond market
with a MXP23bn (USD1.4bn)
deal with UoP linked to the UN
SDGs. By the end of Q3, Climate

energy provider Northland Power signed
a USD5.2bn credit agreement to finance
Baltic Power’s offshore wind project. Once
operational, the project is expected to powerover 1.5 million Polish households and will
make a substantial contribution to Poland’s
energy transition targets.5
Volkswagen is a frequent green bond issuer,
with cumulative aligned volume of USD12.6bn
including USD4.2bn added in Q3. In late August,a pair of perpetual bonds with a cumulative
volume of EUR1.75bn (USD1.8bn) extended
the company’s green liability profile, and in
mid-September, three bullet bonds maturingin three, six, and nine years added combined
volume of EUR2bn (USD2.1bn). The UoP of
VW’s green bond programme is exclusively
channelled to support electric vehicles.

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative

Bonds had recorded aligned sustainability
volume of USD13bn from Mexico, which
published its sustainable finance taxonomy
in March 2023. The taxonomy is interoperablewith the EU taxonomy and is expected toencourage local market creation.

SocialSouth Korea priced the largest
volume of aligned social bonds
with USD7.8 bn across 95 deals.
Two social bond issuers from theregion appeared among the top
five. Korea Housing Finance Corp made thelargest contribution to the social bond market in
Korea with a total aligned volume of USD2.5bn
split over 17 deals in a mixture of KRW, USD, andEUR. Korea SME’s and Startups Agency is a
non-profit, government-funded organisation
supporting the sustainable grown anddevelopment of Korean SMEs. The agency priced
nine social deals with cumulative volume of
KRW1.2tn (USD908m) with proceeds earmarked
for Education and Microfinance.

5

Sustainability
USD5.6bn of aligned sustainability
bonds originated from Japan in
Q3 accounting for a 29% share,
followed by South Korea and
Mexico with USD2.5bn each. The
Development Bank of Japan was the largest
issuer pricing four deals in a mixture of EUR, JPY,
and USD with combined volume of USD3bn. The
UoP were earmarked for Low-Carbon Energy,
Buildings, Transport, Healthcare, Equality,
Employment, and Affordable Housing. Toyota
added a trio of USD bonds in mid-July withcombined volume of USD1.5bn. Cumulatively,
Climate Bonds has recorded UD15.3bn in aligned
deals from Toyota, split between USD8.7bn
in the green theme, and USD6.6bn under thesustainability label.

Sustainability-Linked Bonds
In Q3 2023, Climate Bonds recorded
SLBs from ten non-sovereignissuers amounting to USD3.4bn.
The largest deal was a EUR900m(USD966m) 7-year SLB from
German retail and tourism group REWE withsustainability performance targets (SPTs) linked
to reductions in all three scopes of emissions.
In Q3, 52% (USD8.6bn) of all SLBs priced did not
qualify for inclusion in Climate Bonds dataset.
The main reasons for this were a lack of GHG
emission targets (USD3.8bn), and partial emission
coverage in targets (USD3.5bn) but other deals
were excluded for lack of scope 3 disclosure, lackof target disclosure, only partial alignment withthe sector pathway, and use of economic intensity
targets. Climate Bonds hopes that the introductionof its Methodology (referenced above) willencourage issuers to be more ambitious when
designing their SLB frameworks.

Largest non-sovereign issuers in Q3 2023
Country

USD added to
relevant database Q3

Largest green bond issuers
Renew Power

India

7.8bn

Baltic Power

Poland5.2bn

Volkswagen

Germany

4.0bn

NTT Finance Corp

Japan

2.7bn

ACWA Power

Saudi Arabia

2.2bn

Caisse d’Amortissement de la Dette Sociale

France4.0bn

Hong Kong Mortgage Corp Ltd.

China_HK

2.5bn

Korea Housing Finance Corp

South Korea

2.5bn

BNG Bank NV

Netherland

1.8bn

Korea SME’s and Startups Agency

South Korea

908m

Development Bank of Japan Inc

Japan

3.0bn

Korea Electric Power Corp

South Korea

2.0bn

Ministeries Van de Vlaamse Gemeenschap

Belgium

1.6bn

Toyota Motor Corp

Japan

1.5bn

AEGEA (Aguas do Rio)

Brazil

1.2bn

RWE International Finance BVGermany966m

ELO SACAFrance799m

DHL Group

USA

545m

Orange SA

France536m

Georgia Capital JSC

Georgia150m

Largest social bond issuers

Largest sustainability bond issuers

Largest sustainability-linked bond issuers

Best Practice on hydrogen production: Engie
French utility Engie
updated its Green
Financing Frameworkin mid-June 2023,
obtaining a secondparty opinion (SPO)
from Moody’s. The
issuer has since priced four green bonds with a
total amount exceeding USD1.5bn, including a
EUR900m benchmark in September. The new
Framework is a big step-up from its early 2020
iteration, with UoP in the new version in broadalignment with the EU Taxonomy’s technicalscreening criteria and adhering to some of themost stringent market practices.
Among all the eligible green project categories,hydrogen production separates Engie fromH2

other green bond issuers financing
such projects by the extent of
disclosure. Under the Framework,
the issuer allows for the financing
of hydrogen produced from both electrolysis
powered by renewable energy (green hydrogen)and natural gas steam reforming with carbon
capture and storage (blue hydrogen). The
life cycle GHG emissions resulting from bothproduction methods fall below the thresholdof 3tCO2eq/tH2, in compliance with the EU
Taxonomy and Climate Bonds Hydrogen Criteria.
Notably, in the SPO, Engie worked with Moody’s
and confirmed that the electrolysis is poweredby electricity generated from solar and windenergy exclusively, with an electrolyser efficiency
around 53.5 kWh/kg. Engie also disclosed that

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative

the natural gas is expected to be sourced from
Norway with the best practice estimates used
to calculate upstream leakages. This coupledwith a 95% carbon capture rate means the
production process results in life cycle GHG
emissions of only 1.5tCO2eq/tH2, which is the
carbon intensity threshold required by the
Climate Bonds Hydrogen Criteria for 2030.
This example on hydrogen production
demonstrates Engie’s commitment to follow
the best market practices to help the world
accelerate the transition to net zero, as well astransparency to communicate with investors
and other stakeholders in the sustainable
investing space.

6

Case Study: Nishimatsu Construction 0.6% 27 July 2028
Nishimatsu
Construction(Nishimatsu) is aJapanese company
primarily engaged
in civil engineering,
construction
contracting, and real estate. Among Japan’slargest construction businesses, they recorded
net sales of JPY339.76bn in FY2023. In 2022,
Nishimatsu reported total GHG emissionsof 3.3mt CO2, of which 2% are scope 1 and2 emissions, and 98% are scope 3. Scope 3
category 11 emissions associated with energy
use during the operational phase of completed
and delivered buildings comprise over 75% of
Nishimatsu’s total emissions.
In July 2023, Nishimatsu priced a JPY20bn(USD142m) SLB with a five-year maturity.
The coupon is linked to two SPTs which
cumulatively cover about 77% of thecompany’s carbon footprint.

Target 1

KPI: Scope 1+2 emissions reduction rate
SPT: Annual reduction 42% vs. 2020 baseline

Target 2.

KPI: Scope 3 (category 11) emissions
reduction rate
SPT: Annual reduction 25% vs. 2020 baseline
Target year: FY2026
Financial mechanism: Redemption premium(green electricity certificate or carbon offset)
FM Amount: 0.070 (target 1) and 0.03 (target 2)
If the first target is not met, Nishimatsu willpurchase emissions credits or green power
certificates equivalent to 0.07% of the bondissue amount and 0.03% if the second target is
not met. The company identified the bond andits associated KPIs as essential indicators of its
commitment to carbon neutrality by 2030.
This bond is considered fully aligned whenassessed against Climate Bonds’ Sustainabilitylinked Bond Database Methodology.

Comparison of Nishimatsu’s net-zerotransition plan against Climate Bonds’
Five Hallmarks of a Credible Transition
Hallmark 1: Paris-aligned targets
Targets should be alignedwith a sector-specific, 1.5°C
pathway, cover the short-,
mid-, and long-term, and include
scope 1, 2, and 3 emissions.
Nishimatsu has developed a ‘ZERO30’
decarbonisation pathway that outlines shortand medium-term emission reduction goals
leading up to 2030 (its carbon neutrality

target year). It aims to reduce scope 1 and 2
emissions by 45.3% and 54.8% by 2025 and 2030,
respectively, both against 2020 baselines. The
remaining emissions (45.2%) in 2030 will be offset
using renewable power generation.
The scope 3 targets of -26% by 2025 and -27%
by 2030 (v. 2020) cover category 11 emissions.
The company has also identified target emission
levels for each interim year between the reporting
period, 2022 and 2030. Together, these targets
account for 77% of the company’s total emissions.
The Science Based Targets initiative (SBTi)
validated these targets as well below the 2ºC
level, and the company is seeking to obtain SBTi
1.5°C certification by 2024.
Nishimatsu’s targets are detailed and criticallyfront-load scope 1 and 2 emissions reduction.
The ambition of the business ZERO30 pathway
exceeds the SBTi 1.5°C emission levels. However,
Climate Bonds cautions against the use of carbon
offsets in these targets. While Climate Bonds
commends targeting the scopes of emissions mostmaterial to Nishimatsu’s business, it encourages
the company to expand these to the remaining
scope 3 categories in the coming years.

Hallmark 2: Vision
The company needs to have a
coherent narrative for the futurebusiness model and asset base,identifying changes from the statusquo, and actions to achieve this vision.
Nishimatsu has a comprehensive vision for
decarbonising its business in line with its emission
targets. This vision, a part of its ZERO30 roadmap,
outlines the role of various levers in its yearlydomestic scope 1 and 2 emissions reduction until
2030. The roadmap projects yearly emission levels
until 2030, accounting for projected increases
where relevant. Critically, Nishimatsu’s planquantifies short and medium-term levers, suchas energy factor reduction, energy conservation,and introducing renewable energy. For scope 3
emissions, Nishimatsu has a short-, medium-,and long-term strategy that entails expanding
zero-emission buildings (ZEBs) construction,
ultimately converting all construction projects to
ZEB by 2050. It plans to supplement by developing
carbon-reducing technologies, construction
materials and supplier engagement.
The granularity and timeframe of Nishimatsu’s
decarbonisation vision, particularly for scopes 1 and2, give it credibility as do the description of current
and future company positioning and quantitative
goals for interim strategies. Such detail, andthe adoption of ZEBs, evidence the company’s
coherent narrative for its future business model.
Considering that it comprises 98% of thecompany’s emissions, quantitative interim targets

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative

for the scope 3 reduction strategies should bea priority. A financial strategy with capex andopex commitments towards net zero would
strengthen Nishimatsu’s plan.

Hallmark 3: Implementation Plan
A clear action plan must alreadybe implemented to support thedelivery of interim performancetargets, with identified metrics
and indicators to assess delivery.
Since establishing its decarbonisation map
in 2021, Nishimatsu has reported progressagainst interim milestones for both carbon
emissions and the associated levers. The
company also provides a high-level overview
of environmental partnerships and awards todate. It plans to continue reporting this on anannual basis. While it is too early to be certainthat 2025 and 2030 goals will be achieved, thecompany was on track in 2022, with emission
reductions of 43.6% (scope 1 and 2) and 21.3%(scope 3) against the 2020 baseline.

Hallmark 4: GovernanceTransition needs to be driven,
owned, and monitored by seniorleadership, with ongoing reevaluation and re-calibration.
Nishimatsu has strong governancemechanisms to drive forward its transition
plan. The Nishimatsu Board of Directors
oversees the groups climate change
responses and targets, advised by a dedicatedSustainability Committee. The internal
governance of the transition strategy appears
strong, including an environmental committeethat monitors and reports progress against
goals to the management. The company
recalibrates targets periodically: in 2023,
Nishimatsu updated and developed a 2023
Zero30 roadmap to enhance the 2021 iteration,
adding scope 3 emissions from all businessactivities to its targets and plans.

Hallmark 5: External Verification
Transition KPIs and underlying
methodologies need tobe disclosed, and receive
independent verification.
Nishimatsu discloses combined scope 1
and 2 emissions, and scope 3 emissions by
category. Their CO2 emissions data are all
subject to independent third-party assurance.
The company does not report breakdowns byemission sources or business areas and fails
to mention its GHG accounting methodology.
Further disclosure in these areas would
enhance transparency.

7

SPOTLIGHT – The Middle East and Africa Sustainable Debt
Market Snapshot Q3 2023
Summary2023 aligned GSS+ volumes have shot up in MEA
18This is the second Climate Bonds report
exploring the shape and size of the GSS+ debt
market in the Middle East and Africa (MEA)
region. The market has grown substantially in
2023, led by countries based in the Middle East.

This report describes the GSS+ debt market
in MEA as of 30 September 2023. The prioriteration of this report was published in 2022.7

Market analysis
MEA GSS+ volumes grew 158% in 2023
By the end of Q3 2023, Climate Bonds hadrecorded USD47.9bn of cumulative aligned
GSS+ volume originating from the MEA region.
This makes 2023 the most prolific year so far
for the region’s GSS+ market, with volumes of
USD17.3bn recorded by the end of Q3 2023
compared to USD6.7bn for the full year 2022,
a 158% increase with three months of the year

3/4 of aligned GSS+ volume
from MEA is green

Green

SLB

14

SocialSustainability

12

Transition

10
8
6
USD Billions

The upcoming 28th Conference of theParties to the United Nations Framework
Convention on Climate Change (COP28) will
be hosted in Dubai, the most populous of theseven United Arab Emirates (UAE), which isone of the top ten oil-producing nations. In acontroversial move, the Chief Executive of UAE’s
state-owned oil company, Sultan Al Jaber, hasbeen appointed as president of the COP28
talks.6 Sultan Al Jaber is also the Chairman ofrenewable energy firm Masdar, responsible forthe expansion of low carbon energy production.
COP28 will focus on accelerating the moveto low carbon energy by 2030, and there will
once again be a focus on channelling capital tosupport the decarbonisation efforts of emerging
market countries (EM).

16

4
2
0
20122018

2019

2020

remaining. So far, 2023 has seen aligned deals
recorded in the green (USD14.7bn), sustainability(USD2.6), and social (USD13m) themes. The
Middle East is beginning to flex its huge potential
for renewable energy capacity with Saudi Arabia
and the UAE the source of two-thirds of the 2023
volume (USD11.7bn).

Green is the preferred theme
Green dominates cumulative MEA GSS+ volume(80%) to a greater extent than it does the

2021

2022

2023

Source: Climate Bonds Initiative

global market (61%). Sustainability bonds
currently represent 17% of the MEA GSS+
market but due to their flexibility to support
environmental and social projects in the sametransaction, could be applied much more
widely in the region.
Following the application of Climate Bonds
SLB Database SLBD Methodology, the Unity
1 Sukuk (Etihad Airways) SLB is the only
qualifying deal.

Aligned SLB: Etihad Airways
In October 2020,
Etihad Airways priced
a USD600m five-year
sukuk combining
UoP with a KPI-linked
structure. The SPT wasto reduce GHG scope
1 emission intensity by 20% between 2017and 2024, which is in line with the Transition
Pathway Intiative’s (TPI) Airlines 1.5°C Pathway.

SLB 1%
Social 2%

The SLB carried a maximum financial
penalty of USD1.5m, which decreases
according to the extent to which the target
is not met. This was considered fully alignedwith the Climate Bonds SLBD Methodology.
Climate Bonds encourages SLB issuers
to use decarbonisation targets that cover
all material scopes of emissions for theirsector, and to benchmark their targets
against a sector-specific, 1.5°C pathway.

Climate Bonds Certified: Masdar
Sustainability
17%

Green
80%

In July 2023, Masdar
priced a USD750m
10-year green bond.
The Abu Dhabi
government-backed
entity obtained Climate
Bonds Certification
for the deal, demonstrating alignment with
the Solar and Wind Sector Criteria. The UoP

was earmarked for four solar projects in
Azerbaijan and Uzbekistan, and one windfarm in Uzbekistan. The deal attracted anorder book of 5.6 times the deal size, which
is above the average of four times recorded
by Climate Bonds.8 Masdar is a subsidiaryof the state-owned Mubadala Investment
Company and has supported renewableenergy projects in 40 countries.

Source: Climate Bonds Initiative

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative8

Middle East and Africa
regional issuance

MoroccoUSD537m

The USD dominates
TurkeyUSD7.5bn

Lebanon
USD60mQatar
USD1.2bn

Egypt
USD2.3bn
Israel
USD3.5bn

Ghana
USD66mSaudi Arabia
USD15bn

Nigeria
USD136m

Seychelles
USD15mTanzania
USD11mNamibia
USD21mIn 2023, GSS+ bonds have been priced in USD,
EUR, SAR, AUD, with the latter pair being deployed
by MEA issuers for the first time. ACWA Power
priced a SAR8.3bn (USD2.2bn) loan to finance the
Al-Shuaibah 1 and 2 solar plants with the capacity
to power 350,000 homes.9 In June 2023, Saudi
National Bank (SNB) priced an AUD20m (USD13m)
social bond. The UoP of the 10-year FRN was
earmarked for Employment and Microfinance,
selected from the eligible project categories in the
SNB 2021 Sustainable Financing Framework.10

UAE
USD11.8bn

Kenya
USD395m
Benin
USD693m

Aligned GSS+ deals from the MEA region have been
priced in 15 currencies, but the three largest are
responsible for 91% of the volume. USD takes 79%
of the aligned volumes spread over 75 deals from 47
issuers, while EUR, the second largest currency, waschosen for eight deals from eight issuers, comprising
7% of the total. ZAR is the largest soft currency, and thethird overall, with 24 deals amounting to USD2.7bn.

USD takes 80% of aligned
GSS+ volume
CHF 1%

Sovereign
green or sustainability deal

Mauritius
USD1.3bn

South Africa
USD3.2bn

The Middle East brings scale
Aligned GSS+ debt has originated from 17
countries, with no new MEA countries being
recorded in 2023. Saudi Arabia dominates
the market with 13 deals from seven issuers
amounting to 15.1bn, resulting in 84% of MEA
aligned volumes originating from the Middle
East. The Public Investment Fund is the largest
single issuer in the region with cumulative deals

Other 3%SAR
ZAR 5%of USD8.5bn. United Arab Emirates (UAE) is thesecond largest country source, with USD11.8bn
spread over 26 deals from 12 issuers includinga Climate Bonds Certified deal from Abu Dhabi
Future Energy Company (Masdar). Sixteen Turkish
issuers have come to the market with 25 deals
with cumulative volume of USD7.6bn. The threelargest country sources are also those which havebeen the most prolific in 2023.

EUR
6%

6%

USD
79%

Source: Climate Bonds Initiative

Green loans prevail in Africa.
In the first nine months of 2023 aligned GSS+
deals originated from four of the 54 Africancountries, all of which were green loans.

Egypt was the largest source with a total of USD775m
from two issuers. Green taxonomies and standards
should be deployed to prioritise green lending in loan

markets, and to identify green lending to enable
aggregation.Issuers should be guided to ensure
the UoP meets investor expectations.

Green loans originated from four African countries in the first nine months of 2023
Country

IssuerCurrency of
issue

Egypt

ACWA PowerUSD

Red Sea Wind Energy
Kenya

Morocco

Ghana

Numberof deals

Use of Proceeds

576m

4

Renewable Energy

USD

200m

2

Renewable Energy

Kenya Power and Lighting Company

USD

300m

1

Renewable Energy

Anergi Turkana

USD

54m

1

Renewable Energy

OCP Group

EUR

111m

1

Renewable Energy

Equatorial Coca-Cola Bottling Company

USD

71m

1

Renewable Energy, Waste

Bui Power Authority

USD

24m

1

Renewable Energy

1.34bn11

Total

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative

USD
equivalent

9Ten largest aligned GSS+ deals from MEA 01 January to 30 September 2023
Issuer nameCountry

Theme

Instrument
type

UoP

Tenor

ACWA Power.

Saudi
Arabia

Green

Loan

Low Carbon Energy

PublicInvestment Fund

Saudi
Arabia

Green

Bond

Low Carbon Energy, Low Carbon Buildings,
Low Carbon Transport, Water, Waste, Land Use

IsraelIsrael

Green

Bond

PublicInvestment Fund

Saudi
ArabiaGreen

PublicInvestment Fund

Saudi
ArabiaSaudi Electricity
Company

Currency

USD
deal size

GREEN
SAR

2.2bn

12 years

USD

2.0bn

Low Carbon Energy, Low Carbon Buildings,
Low Carbon Transport, Water, Waste,
Land Use, Adaptation and Resilience

10 years

USD

2.0bn

Bond

Low Carbon Energy, Low Carbon Buildings,
Low Carbon Transport, Water, Waste, Land Use

30 years

USD

1.75bn

Green

Bond

Low Carbon Energy, Low Carbon Buildings,
Low Carbon Transport, Water, Waste,
Land Use

8 years

USD

1.75bnSaudi
Arabia

Green

Bond

Low Carbon Energy, ICT

10 years

USD

1.2bn

Masdar

UAE

Green

Bond

Low Carbon Energy

10 years

USD

750m

Energix
Renewables

Israel

Green

Loan

Low Carbon Energy

USD

500m

Sharjah

UAE

Sustainability

Bond

Green: Low Carbon Energy, Low Carbon
Buildings, Low Carbon Transport, Water,
Waste, Land Use, Industry, Adaptation
and Resilience. Social: Healthcare,
Employment, Education, Micro Finance,
Afforable infrastructure, Equality

9 years

USD

1bn

Turkiye Vakiflar
Bankasi TAO

TurkeySustainability

Bond

Green: Low Carbon Energy, Low Carbon
Buildings, Waste. Social: Employment,
Micro Finance, Non-green Infrastructure

5 years

USD

520m

SUSTAINABILITY

Public sector supports 2023 GSS+ volume
The private sector dominates the MEA aligned
GSS+ market with 58% of the cumulative volume
originating from financial corporates (29%), andnon-financial corporates (28%). In the first threequarters of 2023, the public sector took the leadwith 63% of the volume. Government-backed
entities collectively priced USD7.9bn, which is
58% of the cumulative total from that issuer
type. While no MEA aligned sovereign deals werepriced in 2022, by September 2023, Sharjah(UAE) and Israel had come to the market withcombined volumes of USD3bn.

The public sector has driven 2023 aligned GSS+ volumes in MEA
1510

USD Billions

Many international investors are unable tocombine EM risk with currency risk. While someissuers can sell a bond denominated in USD andhedge the currency risk, the cost and expertise
required to do so can be prohibitive to others.
Meanwhile, local currency deals need local
capital, which is not available in many countries
in the region. International investors also seek
liquidity, preferring benchmark-sized deals in hardcurrencies. Among the 28 deals priced in the first
three quarters of 2023, ten were at least USD500m
in size, nine priced in USD, and one in SAR.

Financial Corporate

Non-Financial Corporate

Financial Corporate

Sovereign

Local Government

5020122018

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative

2019

2020

2021

2022

2023
Source: Climate Bonds Initiative

10

Pair of sovereigns bring total to six
Two MEA nations priced debut sovereign deals
in 2023, taking the total number of GSS+ issuingnations to seven. All but one have issued in
hard currency, with Nigeria pricing in its local
currency to capitalise on its domestic investor
base. Israel came to the market with its first green
bond in January, and Sharjah (UAE) issued asustainability bond in February. For countries
that can bring sovereign deals, a sovereign GSS+
bond is a strong signal of the sustainability
commitments of the issuing country.
In early January, Israel joined
the Sovereign GSS+ Bond Club
with its debut green deal worth
USD2bn. The 10-year bondattracted USD12bn in bids,
covering the book six times,
and was eventually allocated to 200 investors
in 35 countries. Israel’s November 2022 Green
Bond Framework highlighted eight eligible green
project categories, including Environmentally
Sustainable Management of Living Natural
Resources and Land Use, and Adaptation.11
In mid-February, Sharjah, thethird largest emirate in the UAE,
priced a USD1bn sustainability
bond to mature in 2032. The
February 2023 Sustainable
Financing Framework named
14 eligible project categories of which eight weregreen, and six were social.12

Israel and Sharjah grasp
adaptation opportunity
As extreme weather events intensify in severity andfrequency, the need to adapt to the ramificationsof climate change will force governments torethink their priorities. In November 2023, theUnited Nations Environment Programme (UNEP)
reported that the adaptation finance requirementof developing countries is now 10–18 times thesize of international finance flows, which is morethan 50% above the previous range estimate.13
Delaying adaptation will most likely haveserious consequence for loss and damage
so the opportunity to pre-empt this been
grasped by both Israel and Sharjah throughtheir GSS+ deals. Israel lists several examples
in its financing framework including projects toimprove the preparedness of local authorities
for the prevention of flooding and fires, as wellas projects promoting technological innovationsin the fields of energy, water, environment, andsustainability to respond to climate change.
Sharjah mentions expenditures supporting
resiliency and managing risks associated withthe effects of climate change, including flooding,wildfires, drought, and extreme weather; themonitoring and prediction of weather andenvironmental conditions; and community
monitoring of climate change, outreach andSeven MEA countries have issued aligned sovereign GSS+ deals
Nation

Debut
year

Theme

Currency
of issueTotal amountissued USD

Numberof deals

Sharjah (UAE)2023

Sustainability

USD

1.0bn

1

Israel

2023

Green

USD

2.0bn

1

Benin

2021

Sustainability

EUR

693m

1

Egypt

2020

Green

USD

1.5bn

1

Ghana

2020

Green (loan)

EUR

41.5m

1

Seychelles

2018

Green

USD

15m

1

Nigeria

2017

Green

NGN

71.3m

2

capacity building, risk assessments, risk
mitigation, and increasing preparedness.
Benin also referenced resilience projects
in its 2020 SDG Framework, citing measures
to combat costal erosion among its eligible
project categories.

Sector with Sustainable Development, developedby the central bank and financial regulators, which
provided a roadmap for the alignment of thefinancial sector with climate change commitments.16

Policy 11: Green guarantees

Scaling financial flows into adaptation andresilience projects will be a key challenge of thenext few years. Climate Bonds has committed todeveloping a resilience taxonomy to support theprioritisation of the required infrastructure andsupport systems.14

MEA policy review
Robust sustainable finance policies have thepotential to unlock substantial investment flows
to MEA. Such policies can de-risk investments
and attract international capital to support
crucial mitigation and resilience efforts.
Climate Bonds 101 sustainable finance policies for
1.5°C presents the range of policies thatare available to speed, steer, andsimplify green
investment tomeet climate anddevelopment goals.15
The MEA region
has alreadyseen significant
innovation insustainable financepolicy. The examples
highlighted below
provide a modelfor other countries
seeking to attract andincrease sustainable
investment flows.

Policy 14: Sovereign GSS+ issuance
Sovereign issuance is growing in
the African continent. Green bonds
have been issued by Nigeria, Egypt,and Seychelles (blue bond),with green loans by Ghana
and Angola.

NABLE FORSUSTAIPO
LICIES

1.5°C

IES
FINANCE POLIC
BLE

1.5°C

FINANCESUSTAINAFOR

Policy 3: Sustainable finance roadmap
Sustainable finance roadmaps ensure
coordination between government,
the central bank, and regulators thatcan provide investors with certainty on
policy introduction.
In 2016, the year it hosted COP22, Morocco launched
the Roadmap for Aligning the Moroccan Financial

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative

Guarantees can unlock international investmentin private issuance by providing investors withgreater certainty of returns. The Kingdom of
Morocco provided a guarantee for Morocco’s
first green bond, issued by the Moroccan Agency
for Sustainable Energy (MASEN) to financesolar energy projects in 2017.17 Guarantees canalso be provided by development banks if thesovereign doesn’t have balance sheet capacity,
for example, the Seychelles blue bond was
supported by a guarantee from the World Bank.

In 2021, Benin issued a EUR500m SDG
bond, 12.5-year transaction, marking
the first sustainability sovereign bondto come from sub-Saharan Africa. The
bond finances expenditures alignedwith many of the SDGs and, although
not explicitly signposted, is alignedwith a just transition approach as
it finances resilience measures,electricity grid access, and training
and financial inclusion.18

Policy 17: Grant finance
Grant finance is critical to high-risk
projects or those without clear
revenue flows that may be unable
to attract lending, such as climate
adaptation and resilience. The
YouthAdapt programme, funded by the African
Development Bank (ADB), provides grant
financing and capacity building to youth-led
innovative adaptation enterprises across Africa.19

11

Policy 19: Blended finance

African taxonomy development

Effective blended finance structures can lower
the cost of capital for project developers andmaximise development finance capabilities.
Concessional or grant financing can be used
to finance the risker junior debt portion of adeal, while private finance funds only the lower
risk senior debt portion. This reduces the costof capital for the project developer because
investors will accept lower returns than if
required to fund the high-risk portion.

The African continent ishome to many dynamic
nations that are actively
developing their economies
and seeking to addresssocial and environmental
challenges. The first country on the African
continent to establish a national taxonomy wasSouth Africa in April 2022, following the exampleof the European Union taxonomy. In mid-2023,
Rwanda, with support from GIZ and Climate
Bonds, will begin developing a taxonomy.

Kenya has used blended finance to in its efforts
to reach 100% renewable energy generation by
2030. For example, the 310MW Lake Turkana
wind farm was financed with a combination of
public financing from the Kenyan government,
concessional loans from development
institutions, and private sector investments.
This demonstrates how public financing can beused to de-risk a project and leverage private
investment, stretching limited public budgets
to maximum effect. As a result of Kenya’s efforts
to attract private green investment, the country
receives almost 10% of all foreign climate
investment in Africa.20

Policy 20: Green finance facilities
The broad range of green financefacilities in Africa allow the scaling
up of guarantees or grant provision,
streamlining decision-making
compared to project-by-project
allocation. In addition, facilities can be targetedto specific issues such as climate resilience oraccess to electricity.
The ADB’s Adaptation Benefits Mechanism allows
adaptation project developers to sign off-takeagreements for payment upon delivery of certified
adaptation benefits and use those agreements
as collateral for raising finance. This provides anadditional revenue stream to finance adaptation.21
The Beyond the Grid Fund is a results-based
financing mechanism with long repayment
plans that funds provision of minigrids, homesolar systems, and efficient cooking stoves torural and semi-rural communities in Zambia,
where 70% of the population is off-grid. Fundedby development finance from the Swedish
International Development Cooperation
Agency, the fund also operates in DRC, Uganda,
Mozambique, Liberia, and Burkina Faso.22

On the African continent, the importanceof the taxonomy is even greater than in the
Global North. Many sectors are nascent, andstates are actively attracting investment which
can create a carbon-free economy from theoutset. In contrast, EU countries face serious
political and economic challenges posedby outdated and carbon-based stranded
assets in energy and industry, which aresocioeconomically entrenched. As a result,modernisation is more expensive thanbuilding modern low-carbon capacity.
Taxonomies allow African countries toprioritise the development of industries
based on advanced low-carbon technologies,
attract international green capital, and build
a financial ecosystem for businesses involvedin climate projects.

Policy 97: Standards and taxonomy

Outlook

These provide clarity on what asustainable investment is andhelp identify green investment
opportunities. South Africa’s Green
Taxonomy, published in 2022, is
85% aligned with the EU Taxonomy, recognising
the importance of interoperability to secureinternational finance flows.23,24

The GSS+ market is the ideal
vehicle for financing the energy
transition, and the growing
demands for mitigation andadaptation solutions in MEA.

The inclusion of adaptation and resilience inAfrican taxonomies can guide and provide
credibility to resilience elements of green bonds
or loans and help African countries secure private
finance to support resilience.

Policy 98: GSS+ bond guidelines
Guidelines and frameworks can help standardise
the local market, providing investor confidence inissuance. Green bond guidelines were introducedin Egypt and Nigeria in 2018, in Kenya in 2019,
and the Moroccan Capital Markets Authority
expanded its guidelines in 2018 to cover green,social and sustainability bonds with support from
IFC.25,26,27,28 This also illustrates how supervisors
can leverage development bank or otherexpertise to assist with guideline development,
overcoming potential capacity or expertise gaps.

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative

Aligned GSS+ volumes from the region haveincreased rapidly in 2023, driven by countries in
the Middle East. Action taken by Arab nations
including Saudi Arabia and UAE has contributed
scale to the market but there is a significant
shortfall in deals from other countries in the region
to address the growing climate vulnerabilities.
Closing this gap requires strong policy
commitments combined with mechanisms
such as relevant taxonomies and green
tagging to enable aggregation, as well as
deploying blended finance at scale. COP28
provides an opportunity to harness thecollective power of all stakeholders including
governments, policy makers, banks, anddevelopment finance institutions to achieve
rapid decarbonisation and adaptation.

12

Endnotes
1. Total market based on data from Bloomberg. Pricing date in therange 01/01/2023 to 09/30/2023, and maturity from settle date is
greater or equal to one year.
2. Sustainability Linked Bonds Database Methodology, Climate Bonds,
June 2023, Sustainability-Linked Bonds Database | Climate Bonds Initiative
3. Chile’s Sustainability Linked Bond Framework, June 2023,
Sustainability-linked Bonds (hacienda.cl)
4. Renew Signs MoUs for INR 640 Billion, ReNew Signs MoUs for
INR 640 Billion (~US $7.8 bn) for Green Energy Projects | ReNew(renewpower.in)
5. Northland Power Announces Signing of Credit Agreement for$5.2 Billion project, Northland Power Announces Signing of Credit
Agreement for $5.2 Billion Project Financing at Baltic Power Offshore
Wind Project - Northland Power6. Oil production (ourworldindata.org)
7. Sustainable Debt Market Summary Q3 2022, Climate Bonds
Initiative, cbi_susdebtsum_highlq32022_final.pdf (climatebonds.net)
8. Based on USD denominated deals with of at least USD500m
original issue size, with a rating in the A bucket, priced between June
2016 and June 2023.
9. ACWA Power consortium commits $2.2bn for Al-Shuaibah solar
projects (arabnews.com)
10. SNB Sustainable Finance Framework, November 2021, Microsoft
Word - SNB Sustainable Finance Framework 15-11-2021 v2 (002).docx(alahli.com)

11. Israel’s Green Bond Framework, November 2022, Green Bond
Framework (www.gov.il)
12. Emirate of Sharjah Sovereign Sustainable Financing Framework,
February 2023, Emirate of Sharjah - Sovereign Sustainable Financing
Framework.pdf (sfd.gov.ae)
13. UNEP Adaptation Gap Report, 2023, November 2023, Adaptation
Gap Report 2023 | UNEP - UN Environment Programme
14. Resilience Taxonomy White Paper, Climate Bonds Initiative 2023,
Resilience Taxonomy White Paper | Climate Bonds Initiative
15. Burge, L., 2023. 101 sustainable finance policies for 1.5°C,
Climate Bonds Initiative, https://www.climatebonds.net/resources/
reports/101-sustainable-finance-policies-15%C2%B0c-0
16. http://marrakechpledge.com/aligning-africa/country-specificinitiatives-morocco/
17. https://www.masen.ma/en/masen-news/masen-issuesmoroccos-first-green-bond
18. https://odd.finances.bj/wp-content/uploads/2022/07/SDG-BondFramework_Republic-of-Benin_EN_final.pdf
19. https://gca.org/youthadaptchallenge/
20. https://www.climatepolicyinitiative.org/publication/thelandscape-of-climate-finance-in-kenya/
21. African Development Bank, n.d. Adaptation Benefit Mechanism,
https://www.afdb.org/en/topics-and-sectors/initiatives-partnerships/
adaptation-benefit-mechanism-abm
22 https://beyondthegrid.africa/countries/zambia/

Prepared by Climate Bonds Initiative

23. https://www.treasury.gov.za/comm_media/press/2022/SA%20
Green%20Finance%20Taxonomy%20-%201st%20Edition.pdf
24. https://www.treasury.gov.za/comm_media/
press/2022/2022111101%20Media%20statement%20-%20Green%20
Finance%20Taxonomy%20Treasury.pdf
25. https://www.dailynewsegypt.com/2018/06/27/ifc-financialregulatory-authority-begin-consultations-on-green-bond-guidelinesin-egypt/
26. https://www.climatebonds.net/resources/press-releases/2018/12/
securities-and-exchange-commission-sec-nigeria-launches-green-bond
27. https://www.greenbondskenya.co.ke/single-post/2019/04/09/
Green-Bond-Market-Launched-in-Kenya
28. https://www.climatebonds.net/files/reports/sbn-ifc-cbi_creatinggreen-bond-markets_report-2018-.pdf

Supported by the GB-TAP,
International Finance Corporation

Climate Bonds Initiative © November 2023
Lead author: Caroline Harrison
Contributors: Lily Burge, Neeraj Chouhan, Daniel Costa, Ang Gao,
Mikhail Korostikov, Matthew MacGeoch, Jacintha Thota.
Editorial support: Stephanie Edghill
Design: Godfrey Design, Joel Milsted
www.climatebonds.net
Disclaimer: The information contained in this communication does not constitute investment advice in any form and the Climate Bonds Initiative is not an investment adviser. Any reference to a financial organisation or
debt instrument or investment product is for information purposes only. Links to external websites are for information purposes only. The Climate Bonds Initiative accepts no responsibility for content on external websites.
The Climate Bonds Initiative is not endorsing, recommending or advising on the financial merits or otherwise of any debt instrument or investment product and no information within this document should be taken as
such, nor should any information in this communication be relied upon in making any investment decision. Certification under the Climate Bond Standard only reflects the climate attributes of the use of proceeds of adesignated debt instrument. It does not reflect the credit worthiness of the designated debt instrument, nor its compliance with national or international laws. A decision to invest in anything is solely yours. The Climate
Bonds Initiative accepts no liability of any kind, for any investment an individual or organisation makes, nor for any investment made by third parties on behalf of an individual or organisation, based in whole or in part on
any information contained within this, or any other Climate Bonds Initiative public communication

Sustainable Debt Market Summary Q3 2023 Climate Bonds Initiative

13