Not at all! The tide turned in 2014, when the total rose to US$ 64 billion. Two years later it had more than doubled to US$ 145 billion. This exponential rate of growth persisted and by 2018 total issues had already reached US$ 308 billion.
"Since then we have seen two more big jumps, adding significant momentum to what was already a burgeoning market," reports Klaus Distler. The total volume of sustainable bonds and loans in 2020 touched EUR 730 billion, more than ten times as much as at the start of the boom six years ago. Now booms in the financial sector are generally a warning to be cautious, but this one is sustainable in both senses of the word. "Public attitudes to the issue and the regulations being put in place by policymakers mean that the relevance of sustainable finance is only going to increase," Klaus Distler affirms.
„Public attitudes to the issue and the regulations being put in place by policymakers mean that the relevance of sustainable finance is only going to increase.“
Klaus Distler,
Helaba
More and more often, the interest costs for promissory notes or loans are directly linked to the company's sustainability performance and the fact that sustainability measures thus also make good economic sense for companies in search of loan capital further strengthens the case.
total volume of sustainable bonds and loans in 2020 in EUR
Key terms associated with the issues of sustainability and green finance - explained in a clear and straightforward way.