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Sovereign Green Bonds in Europe: Are They Effective in Supporting the Green Transition?

Giuseppina Chesini ()
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Giuseppina Chesini: University of Verona

Chapter Chapter 8 in New Challenges for the Banking Industry, 2023, pp 185-212 from Palgrave Macmillan

Abstract: Abstract This chapter focuses on sovereign green bonds issued in Europe. By issuing green bonds, European governments commit themselves to realizing environmental and sustainability goals through their investments. The topic is particularly important because when governments identify eligible assets and projects to include in a green bond programme, they signal their long-term commitment to environmentally friendly projects. By doing so, they can encourage other entities, including those in the private sector, to do the same. In addition, governments could pursue their green goals by issuing conventional bonds instead of specific “green” bonds, which begs the question as to why governments should address their activity towards specific green bonds. In order to study this question, a dataset of sovereign green bonds from the Bloomberg fixed income database is compiled. The data cover all European sovereign green bonds issued until the end of 2022.

Keywords: Sovereign green bonds; Green transition; Green goals; Environment (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:pal:pmschp:978-3-031-32931-9_8

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DOI: 10.1007/978-3-031-32931-9_8

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