Page 11 - Green Finance 2024

guidelines that recommend transparency and disclosure and promote integrity in the

development of the green bond market. The success of green bonds is evident in their

rapid market growth. According to the Climate Bonds Initiative, the total green bond
issuance reached a new high in 2020, underscoring their increasing popularity.

Figure 1: ASEAN green finance market overview

Source: ASEAN Green Finance State of the Market 2020.

Specifically, according to Green Finance State of the Market, the overall sustainable

finance market in ASEAN region performed strongly in 2020 despite COVID-19, with

USD 12.1 billion issued versus USD 11.5 billion for 2019. Green, social, and

sustainability bonds, which had already acquired some traction before to the pandemic,
have now become an essential financial instrument for ASEAN countries. These bonds

enable the raising of money to support green and sustainable recoveries, as well as to

enhance systemic resilience against future shocks. The subject of green labeling

remained the most prevalent, as seen by the increase in regional issuance, which rose

from USD 8.8 billion in 2019 to USD 9.3 billion in 2020. Despite a slower pace

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