Promoting Green Local Currency Bonds for Infrastructure Development in ASEAN+3

For example, the International Financial Corporation (IFC) has issued green bond tranches across a range of currencies including the Turkish lira, South African rand, Indonesian rupiah, Peruvian sol, and Brazilian reals, in addition to dollars and euros.

The first corporate green issue was by Bank of America in 2013.

not popular with issuers because of the extra cost of issuance, not because of a perceived lack of demand.

include the following:
(i)tax incentives or subsidies for issuers of green bonds,
(ii)tax incentives for investors in green bonds,
(iii)official assistance or financial support for national or regional green bond indices

considering requesting the International Capital Market Association to present annual updates on the GBP and green bond market development globally to members of the ASEAN+3 Bond Market Forum (ABMF

requiring issuers to report on ESG activities and measures,

Market participants pointed to a lack of local currency green bond issues and the absence of investors with responsible investment mandates as reasons for the immaturity of green bond markets.

ASEAN Capital Markets Forum issued regional guidelines in the fourth quarter of 2017

Japan’s Ministry of the Environment issued voluntary green bond guidelines in March 2017, which are aligned with the GBP

Japan: $2.2 billion, 6% in Japanese yen;
(ii)Republic of Korea: $1.7 billion, 0% in Korean won;
(iii)Singapore: $549 million, 12% in Singapore dollars;