European Green Bond Standard Sees €22bn Issued in First Year, Indicating Strong Investor Interest
The European Green Bond Standard (EUGBS), launched in late 2024, has facilitated the issuance of €22 billion in labeled bonds within its first year. This initiative allows bond issuers in the EU to align their financial packages with the bloc's sustainable finance taxonomy. The bonds are required to undergo pre-issuance reviews, annual post-issuance reporting, and oversight by the European Securities and Markets Authority (ESMA). At least 85% of the bond proceeds must be allocated to activities within the EU Taxonomy. The uptake of the EUGBS has been diverse, with participation from sovereigns, municipal entities, development institutions, banks, and corporates across various countries. The majority of these bonds support Europe's transition to low-carbon energy, reflecting a strong investor appetite for energy security. 
