Climate Bonds releases updated CBRT Methodology to support growing adaptation and resilience finance markets

Credible, science-based definitions for climate adaptation and resilience (A&R) investments are no longer theoretical but rather, they are market infrastructure. From CAF issuing the first resilience bond for Latin America and the Caribbeans, to Tokyo Metropolitan Government issuing the world’s first Climate Bond Certified issuance under the Resilience Criteria, A&R finance markets are moving fast, and the definitions must keep pace. 

The Tokyo Metropolitan Government issuance marked the first-ever resilience bond globally to be Certified under the Climate Bonds Standard and  was seven times oversubscribed, highlighting strong market appetite for credible A&R investments. 

Against this backdrop of accelerating market momentum and growing demand for science-based A&R definitions, Climate Bonds has released an updated version of the Climate Bonds Resilience Taxonomy (CBRT) Methodology, strengthening the practical application of the framework while maintaining its core structure and objectives. 

Building on the original framework

First launched in September 2024, the Climate Bonds Resilience Taxonomy established one of the first detailed, science-based frameworks specifically designed to help define and identify credible climate A&R investments. 

The updated methodology builds on that original foundation by improving clarity, usability, and interoperability, helping market participants better understand, navigate and apply the framework across different use cases and jurisdictions. 

Developed with input from the Resilience Technical Advisory Group (RTAG – the overseeing body advising on the development of the CBRT), the CBRT was developed to help address a longstanding challenge in sustainable finance markets: how to consistently define, assess, and identify credible climate A&R investments. 

Importantly, the update preserves the core CBRT structure while strengthening how the framework is interpreted and operationalised in practice.

 
What’s changed?

The updated methodology provides clearer and more practical guidance around key concepts such as Substantial Contribution to A&R, Do No Significant Harm (DNSH), and Maladaptation, helping users apply the framework more consistently across different market contexts. The update also includes: 

• Expanded annexes and worked examples across different investment types  
• Clearer distinction between developer-focused technical guidance and user-focused resources  
• Gender-related considerations and guidance on gender tagging  
• ISIC mapping across activities covered under the framework  
• Updated terminology and definitions informed by the latest IPCC climate science  

Together, these updates aim to support greater consistency, comparability, and interoperability across A&R finance markets globally.

 
Strengthening credibility and market confidence

The updated methodology also strengthens the link between the CBRT and the Climate Bonds Certification Scheme, helping operationalise the framework for resilience-labelled financial instruments through clearer guidance, and more practical applications. 

As A&R finance markets continue maturing, these improvements help support greater consistency, transparency, and market confidence in how resilience investments are identified and assessed in practice. 
 
The CBRT Methodology will continue evolving alongside market developments, climate science, and technical feedback to support the continued growth of credible resilience finance markets globally.

 
Explore the updated methodology 

Visit the updated CBRT Methodology on our website to explore the framework and access additional supporting resources. 

And if you’d like to learn more about how the methodology works in practice, explore our CBRT Explainer video series and additional resources available on our website.  
 
 

'Till the next time,  
Climate Bonds