Commissioned by the UK Conservative Party, the report outlines the need and proposed risk mitigation role of a new Green Investment Bank, and how it would raise and invest funds. It includes an explanation of how Green Bonds could be used to fund the Bank and its activities.
The new UK Government, in its 2010 Budget, committed to setting up a Green Investment Bank in 2011.
The report provides a useful template for a key enabling institution for countries committed to tackling climate change. Such institutions are critical to mobilizing investment at the scale and speed needed for a transition to a low-carbon economy rapid enough to avert catastrophic climate change.
The Climate Bonds Initiative is part of the TransformUK coalition, including E3G, Climate Change Capital and various NGOs, that has been pressing for a Green Investment Bank in the United Kingdom.