Sustainable bond issuance is expected to reach €900bn in 2025, growing 10% year-on-year according to Crédit Agricole CIB’s ESG fixed income research team.
Green bonds represented the majority, 82.6% of issuance, with non-financials as the biggest share of issuers.
Regulation, particularly in Europe, will play a key role in sustainable investing, including the implementation of the EU Green Bonds Standard and carbon border levy (CBAM) in 2026.
Asia is expected to dominate sustainable opportunities, while the US may deprioritize ESG investments due to changing administrations.