Green bonds: The state of the market 2018

The first publication in a new annual report series focused primarily on labelled green bonds and the latest developments on a global scale. 
 

2018 highlights: 

Labelled green bond issuance of USD167.6bn (2017: USD162.1bn) 

- Market share: USA 20%, China 18%, France 8%, Germany 5%, Netherlands 4% 

- Top 3 issuers: Fannie Mae, USA (USD 20.1bn), Industrial Bank, China (USD9.6bn), Republic of France (USD6bn) 

Cumulative green bond issuance since 2007 reached USD521bn, with USA leading at USD118.6bn, followed by China (USD77.5bn) and France (USD56.7bn) 

Wider labelled bond universe: 

USD167.6bn green bonds, which meet the CBI green bond database screening criteria

USD21.0bn sustainability / SDG / ESG bonds and loans financing a mix of green and social projects 

USD14.2bn social bonds financing social projects, without an identified green angle

USD23.7bn green bonds, which do not meet the CBI green bond database screening criteria 

 

Outlook for 2019 and beyond:

- Green bond growth expected from financial institutions, sovereigns, Certified Climate Bonds and climate-aligned issuers 

- Continued harmonisation of taxonomies and use of green bond guidelines 

- Growth of other labelled issuance (sustainability/SDG bonds and social bonds)

A report summary is available here.

 

Corrections:

  • Country ranking chart, page 3: The title of the secondary vertical axis should read "USD Billions"
  • The role of government and the public sector, page 21, 1st paragraph, 1st sentence:  The percentage figure should read "47.3%". 26.5% refers to the contribution of government-backed entities, local governments and sovereigns only.
  • The wider labelled universe, page 23, last paragraph: ICO did not debut in the social bond market in 2018 but in 2014. It issued a repeat social bond of EUR500m in November 2018.