"green bond" is a correct and usable phrase in written English
It is used to refer to a bond issued by a government or company that is linked to environmental or climate goals, and the proceeds are used for related projects. For example, "The government has just issued a green bond to fund the development of a wind farm."
So far, international institutions have driven green bond issuance.
The Bank and IFC helped pioneer the green bond market, with the global green bond market now worth about $38bn.
But that of a green bond issued by South Korea's ExIm bank rose only 0.1 points.
A green bond would have "the potential to cut through the current impasse and stimulate clean technologies globally".
For such a system to work, the European Union also would have to approve the use of carbon permits from the green bond system.
The definition is likely to be tested further because a big oil firm is working on a green bond to finance a carbon-capture and storage (CCS) scheme.
"Green Bond" issuances surged with some $32.6bn raised by October 2014, while Bloomberg New Energy Finance projected the total volume of green bonds issued to reach $40b in 2014 (triple the US$14b issued in 2013).
In the absence of a green-bond index, the relevant portfolios will be bound by certain rules.
On October 19th State Street Global Advisors (SSgA), a big asset-management firm, unveiled a green-bond investment strategy.
On July 1st Barclays, a bank, and MSCI, an information firm, said they would launch the first green-bond index.Green bonds also attract new investors.
The corporate green-bond market, for example, which raises money from capital markets for companies to make environmentally friendly investments, is likely to hit $100 billion in 2015; in 2009 it barely existed.
