Economics

China to Boost $100 Billion Green Bond Market for Renewables

  • Alternatives to bank lending sought by renewable developers
  • Market may expand $40 billion this year, BNEF estimates
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China is set to become a hotbed for the $100 billion market in bonds tied to environmentally-friendly investments as authorities and developers seek alternatives to loans for funding a transformation to clean energy supplies.

The timing is ripe for so-called green bonds in China because policymakers are “more driven to promote healthy development during a period of economic slowdown,” said Xu Nan, a policy analyst at the Research Center for Climate and Energy Finance under the Central University of Finance and Economics.