The UK Treasury is preparing to launch its first sovereign green savings bond that will offer retail investors the chance to buy into projects dedicated to greening the economy. The bond will be offered later this year through the government-backed National Savings & Investments savings scheme, as Boris Johnson’s government seeks to strengthen its green credentials ahead of the COP26 international climate that will convene in Glasgow this coming November.
The bond’s parameters will be based on the UK’s sovereign green bond framework. This has not yet been finalised, but it will also govern the UK’s inaugural green gilt that is expected to be launched this year. The popularity of bonds being marketed as sustainable.has been growing exponentially in recent months, with governments and companies expected to issue $500bn in green debt in 2021, according to research from Swedish bank SEB.