CBI Survey Suggests Issuers Identify Multiple Benefits from Green Bonds

Climate Bonds Initiative (CBI), a non-profit organisation working to mobilise financing for climate change solutions, has published the results of its Green Bond Treasurer Survey, sponsored by the Luxembourg Stock Exchange (LuxSE). 

Last year, CBI surveyed 86 treasurers from 34 countries about their rationale for issuing green bonds, the benefits they had identified and their future plans for green bond issuance. Respondent organisations represented around 44% of the identified green bond universe (accounting for a total of US $7.4 trillion in outstanding bonds, including US $222 billion of green bonds) and had collectively issued 686 green bonds at the time of data collection.

Sponsored by the Luxembourg Stock Exchange's Green Exchange (LGX) and Danske Bank with supporting analysis from Henley Business School from the University of Reading, the survey provides unique insights into the green bond market from the perspective of the issuers and paints a positive future for green bond issuance for years to come.

Indeed, the Green Bond Treasurer Survey 2020 (the first of its kind) suggests that issuers identify multiple benefits from green bonds, with visibility, a larger investment base, stakeholder engagement and catalysing new business highlighted as the main factors.

The questionnaire explored the end-to-end process of issuing a green bond and solicited views on integrating sustainability and the potential to enhance growth and scale of the market.

Julie Becker, Deputy CEO of LuxSE and the Founder of LGX, commented: “The survey clearly reflects the respondents’ desire to reap the benefits of the green bond market and shows that the additional visibility, credibility and liquidity linked to the listing of a green bond on an exchange are highly appreciated by treasurers. In the current context, we see an increase in social bonds in response to the COVID-19 pandemic and we expect more and more organisations to broaden their scope of thematic bonds in the coming months".

The findings of the survey are now publicly available in the Green Bond Treasurer Survey Report, which was published by CBI this morning. The main findings and full report are available at https://www.bourse.lu/news-cbi-releases-green-bond-treasurer-survey-report.