Page 44 - "Green Investments and financial technologies: opportunities and challenges for Uzbekistan" International Scientific and Practical Conference

“Yashil investitsiyalar va moliyaviy texnologiyalar: O‘zbekiston uchun imkoniyatlar va muammolar” mavzusida xalqaro
ilmiy-amaliy anjuman materiallari to‘plami (Toshkent, JIDU, 2025-yil 7-may)

year. Interest rate derivatives, the largest component, accounted for $530 trillion,
while foreign exchange derivatives reached $118 trillion.

Source: Bank for International Settlements.

The U.S. derivatives market is characterised by its depth and liquidity, with a
significant portion of trading activity concentrated among a few major financial
institutions. In the first quarter of 2023, the total notional amount of derivative
contracts held by U.S. commercial banks increased by $26.6 trillion (13.9%) to
$217.6 trillion. Interest rate derivatives constituted 73.6% of this total, highlighting
their central role in the U.S. financial system. The U.S. has witnessed a growing
emphasis on sustainable finance, with increasing issuance of green bonds and other
ESG-linked financial products. In 2023, the U.S. green bond market experienced
significant growth, driven by investor demand for environmentally responsible
investment opportunities and supportive regulatory frameworks. The U.S.
experience offers valuable insights for emerging economies seeking to develop their
financial markets. Key takeaways include the importance of establishing a robust
regulatory framework, promoting market transparency, and encouraging the
adoption of innovative financial instruments. By learning from the U.S. model,
emerging markets can enhance their financial infrastructure, attract investment, and
support sustainable economic growth.

Modern financial instruments—ranging from derivatives and green bonds to sukuk
and tokenised assets—are reshaping the global financial architecture. Their capacity
to diversify investment portfolios, manage financial risks, and deepen capital

44