Green bonds’ widening issuer embrace could drive new offerings to $250 billion this year, surpassing 2017’s record $155 billion. France’s over $10 billion in sovereign green issuance and Fannie Mae’s $20 billion in green mortgage-backed securities (MBS) last year led the way in pushing growth in new areas, a potential template for future expansion. Investor demand for the debt backing environmentally friendly projects is helping drive corporate and government issuers to overcome hurdles such as extra reporting requirements.
Read the analysis by Bloomberg Intelligence analysts Gregory Elders, Jonathan Tyce, Shaheen Contractor and Jaimin Patel.