Green Bonds

Summary

This practice note covers how the Green Bond Principles (GBPs) can be used as voluntary guidelines to aid issuers in creating, and investors in evaluating, green bonds. Green bonds are any type of bond instrument where the proceeds or an equivalent amount will be exclusively applied to finance or refinance, in part or in full, new and/or existing eligible green projects. The GBPs outline four core components of green bonds that, when followed, can promote transparency and disclosure of information and integrity in the marketplace despite the lack of a uniform regulatory framework overlaying these bonds.