A green bond – or climate bond – is a bond specifically designed to be used for climate and environmental projects. According to First Abu Dhabi Bank (FAB), at the end of 2017, Green Bond issuances had reached USD 160.8 billion from 239 issuers, growing by 84 percent compared to 2016. The United States, China and France accounted for 56% of total issuance in 2017. The UAE was amongst the 10 new entrants to the market in 2017. Green Bond transactions accounted for approximately 2.7 percent of global bond market transactions. The size of the Green Bond market is expected to continue to grow rapidly, with the Climate Bonds Initiative’s Green Bond forecast for 2018 estimated to be USD 250-300 billion.
