In the global push toward sustainability, green bonds have emerged as a beacon of hope. These bonds, designed to fund environmentally friendly projects, have catalyzed the transition to renewable energy, sustainable infrastructure, and climate resilience. Yet, recent controversies and setbacks, such as the failure of India’s green bond issuance, have highlighted the challenges that sustainable finance faces. While these obstacles may cause concern, they also offer valuable lessons and opportunities to strengthen the global green finance ecosystem. Understanding Green Bonds and Their Significance Green bonds are fixed-income financial instruments specifically earmarked to raise money for projects that positively impact the environment. Over the past decade, they have gained momentum, with global issuance reaching record levels, fueled by growing awareness of climate change and sustainability goals outlined in the Paris Agreement. However, this rapid growth has also exposed flaws in...
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