In 2025! issuance of green! social! sustainable and sustainability-linked bonds (GSS+) is expected to exceed $1 trillion! up from a slightly lower level at the end of 2024. This will be driven by a more favorable interest rate Green bonds environment and growing investor demand for sustainable investments. GSS+ bonds have become popular financial examples of entrepreneurship programs instruments to support the transition to a low-carbon economy.
An EU green bond market is also expected to be established in 2025
The new voluntary EU standard (EU GBS) aims to strengthen investor confidence in the green bond market through enhanced reporting and verification. According to the standard! at least 85% of the funds raised ust go to activities that comply with the EU taxonomy in the field of sustainable development.
In addition! green bond issuance is expected to grow to finance “green-friendly” projects that Green bonds are key to the transition. These projects include investments in companies that extract materials (e.g. lithium) needed hse expands cooperation with chinese universities for green technologies! as well as companies that produce materials (e.g. insulation) that help reduce emissions in the building sector.
Opportunities for Ukraine
The Ukrainian market has the potential to develop green bonds as a tool to attract international financing for projects in the energy! transport and industrial sectors. For example! investments in the extraction of materials such as graphite or titanium may be attractive to international investors! given their importance for battery technologies or electric vehicles.
The EU Green Bond Market could be an important benchmark for Ukraine. Introducing its atb directory own standards that meet international requirements will allow Ukrainian companies to compete for funding on global capital markets. In addition! raising funds through GSS+ bonds for the modernization of building infrastructure or the development of green energy will help Ukraine achieve its climate goals and meet the requirements of the European Green Deal.
