change. this was strengthened further when the uk government published its uk green financing framework in june 2021 followed by the launch of the first green gilt issuance in september 2021 which raised £10 billion and was the largest inaugural green bond issuance ever undertaken by a sovereign. total green gilt issuance for the financial year 2021 - 22 raised a total of £16. 1 billion, and further green gilt issuance of £10 billion is planned in 2022 - 23. islamic finance by its very nature has synergies with climate finance in that it seeks to avoid investing in socially detrimental activities. 4 the esg - linked sukuk market, though currently small – only 2. 6 % of global outstanding sukuk – is fast - growing, and expected to increase to around 5 % of the sukuk market in the next 5 years. 5 global annual sukuk issuance itself is estimated to grow at a rate of nearly 7 % per year over the next five years, reaching $ 257bn in 2027. 6 the growth of green and sustainability sukuk over the coming years presents an opportunity for the world to accelerate sustainable investment. the bank of england's role in supporting the transition to net zero the bank of england is supporting the transition to net - zero in three main ways. first, through policy advocacy. the bank of england supports the global objectives of mobilising finance flows consistent with the paris agreement and supporting climate - 2 / 5 bis - central bankers'speeches resilient development. for example, during the indonesian g20 presidency, the bank has worked to ensure consistency and comparability in climate disclosure frameworks in its support for the ifrs's issb and its draft standards. for the global financial sector to mobilise finance efficiently to support the transition to net zero, we need a transition finance infrastructure to be put in - place. this includes common definitions, climate disclosures, broader government policy and transition plans from across the economy. having done a lot of convening, the bank is collaborating in key international fora to advance the discussion on transition finance, including the g20 sustainable finance working group ( sfwg ). we support the transition finance framework developed by the g20 sfwg this year and look forward to its operationalisation in 2023 to ensure transition finance is mobilised at pace and at scale. second, through being creative in the use of and access to the bank's balance sheet. in november 2021,

the bank published a comprehensive framework to'green'our corporate bond portfolio to support the transition to net zero, while at the same time not undermining the scheme's primary monetary policy purpose. whilst the portfolio is currently unwinding in - line with monetary policy objectives, we have created a greening framework for other investors on how to green a corporate bond portfolio. and our convening role as the uk's central bank should ensure they take note. this ties in well with the third area, our prudential work. as the uk's central bank and prudential regulator, it is the bank's role to ensure the resilience of the financial system to the impacts of climate change, including the transition to net - zero. collaborating with many others through the network for greening the financial system we are seeking to understand how different transition pathways could affect the economy and the stability of the financial system, as well as the safety and soundness of the firms we regulate. back to liquidity given the unprecedented shocks facing the global economy it is more important than ever that there is a focus on ensuring the right frameworks and approaches are in place to bring about appropriate levels of risk management and resilience to safeguard financial stability. this is particularly true in terms of liquidity, where the experience of recent weeks reminds us of the range of vulnerabilities which exist, particularly in the nbfi sector, which is why it is an ongoing focus for the g20. liquidity is an important and topical subject. but given our focus for today let me return to the bank's alternative liquidity facility ( alf ) to illustrate my favoured approach of using the 4cs. for many years islamic banks have faced challenges in efficient liquidity management, unable to hold the same high - quality liquid assets as conventional banks, such as central bank reserves, sovereign debt and asset - backed securities. further, while basel liquidity rules gave national supervisors discretion to treat sukuk as high quality liquid assets, the amount of sukuk in issuance eligible for this treatment is modest relative to demand for it. to avoid being caught short, islamic banks have historically needed to structure themselves in inefficient ways by, for example, holding large stocks of non - interest bearing cash, or having limited offerings of short - term deposits. the alf – structured as a wakalah, or fund - based facility – provides a creative solution. participant deposits in the