India Sustainable Debt State of the Market Report 2024

India’s sustainable debt market is growing fast. By the end of 2024, India had issued USD 55.9 billion in green, social, sustainability, and sustainability-linked (GSS+) debt — a 186% rise since 2021. Green debt leads the way, making up 83% of the total, with most funds going into clean energy and transport. Sovereign green bonds worth INR 477 billion have helped set benchmarks and boost investor confidence.

The market is becoming more diverse and mature. Beyond green bonds, social and sustainability-linked instruments are gaining traction. Financial institutions and corporates are using these tools to support projects in microfinance, affordable housing, education, and hard-to-abate sectors like steel and cement. Stronger regulations from SEBI and the RBI, plus upcoming taxonomies, are helping build a more credible and transparent system.

India is now seen as a rising climate finance leader. With clear policy signals, growing investor interest, and ambitious projects from companies like ReNew Power, Avaada Energy, and Shriram Finance, the country is well-placed to scale up sustainable finance — and inspire other emerging economies to follow suit.

The India Sustainable Debt State of the Market 2024 report, published by the Climate Bonds Initiative (Climate Bonds) in collaboration with MUFG Bank, Ltd., presents an in-depth analysis of India’s green, social, sustainability, and sustainability-linked (GSS+) debt market.