green bond
GREEN BOND
ɡriːn bɒndListen
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Dictionary meaning
a fixed-income financial instrument in which the proceeds are earmarked exclusively for projects with positive environmental or climate benefits, such as renewable energy installations, energy efficiency improvements, sustainable transport, water management, or biodiversity conservation; green bonds allow issuers including governments, municipalities, and corporations to raise capital for sustainability initiatives from investors who prioritise environmental criteria alongside financial returns; the market is governed by voluntary frameworks such as the International Capital Market Association's Green Bond Principles
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