Global green bond issuance hit a record USD 169 billion in Q3 2024, surpassing the quarterly average of USD 160 billion, marking a significant rise from the USD 130 billion recorded in the same period last year. This positive trend highlights a growing commitment to environmental financing, despite broader market challenges.
According to ING’s latest Sustainable Finance Pulse (Issue 4, 2024), the total sustainable finance issuance for the quarter amounted to USD 385 billion, falling short of the expected USD 400 billion quarterly average. The slowdown, primarily driven by a decrease in sustainability-linked debt products, has dampened overall growth, with market activity concentrated earlier in the year.
Despite the current dip, ING predicts a stronger rebound in 2025. “Interest in ESG-linked financing remains strong,” said Jun Palanca, country manager at ING Philippines. “Our discussions with clients—both new and returning—suggest growing opportunities in the sustainable finance space, particularly as issuers look to reduce costs and attract demand through Environmental, Social, and Governance (ESG) offerings.”
ING’s report also sheds light on the most prevalent key performance indicators (KPIs) used in sustainability-linked loans, offering valuable insights into sector-specific trends.
As the world transitions towards a low-carbon economy, ING’s ongoing investments reflect this shift. However, the bank continues to finance both sustainable and traditional activities, underscoring its role in facilitating this global transition.
Sustainable Finance Pulse is ING’s quarterly publication that analyses trends in sustainable finance, offering key insights into issuance volumes, market drivers, and emerging patterns across different sectors.
