Climate Bonds Initiative

The Climate Bonds Initiative (CBI) is an investor-focused not-for-profit, launched to increase investments contributing to the transition to a low-carbon and climate resilient economy, working on mobilising the $100 trillion bond market for climate change solutions. It provides standards and guidance on climate bonds and publishes studies on the evolutions of the green bonds market. It developed the Climate Bonds Standard and Certification Scheme, undertakes advocacy and outreach to inform and stimulate the market, and provides policy models and government advice, market data, and analysis.

Why it matters 

The Climate Bonds Standard and Certification Scheme is used globally by bond issuers, governments, investors, and financial markets

The Climate Bonds Standard provides sector-specific eligibility criteria for assets and projects eligible for inclusion in ‘climate’ or ‘green’ bonds.  aiming to ensure consistency with the 2 degrees Celsius warming limit in the Paris Agreement. The standard is updated regularly and aims to  provide certainty for investors about the climate benefit of their investments, which can be valuable in controversial areas (e.g. bioenergy, energy efficiency). To date over $100bn of green investment has been certified under the Climate Bonds Standard. It is governed by the the Climate Bonds Standard Board, made up of representatives from the financial professional, non-profit and expert community.

CBI tracks and reports on the green bond market evolution & demonstrates green infrastructure pipelines

CBI is developing a series of reports that aim to identify and demonstrate green infrastructure investment opportunities around the world.

CBI aims to build capacity of financial institutions

CBI delivers green bond trainings with the objective of empowering its Partner organisations with the tools and knowledge needed to navigate, influence, and make the most of opportunities with green and climate bonds.

Main areas of work related to climate mainstreaming:

In December 2019, the Climate Bonds Initiative released Version 3.0 of the international Climate Bonds Standard that aims to support the development of the global green bond and loan markets, with:

• Increased requirements for disclosure, in line with Green Bond Principles 2017.
• More clarity on reporting requirements, before and after issuance of the bond.
• Further flexibility for issuers with staged allocation of proceeds.

Alongside the Standard, the Climate Bonds Initiative

• tracks the most recent labelled green bonds
• provides quarterly and annual green bond market updates
• provides analysis about various bonds issued globally