20 Mar 2025

Can Climate-Linked Bonds Strengthen Asia’s Financial Stability?

Rising climate risks are straining public finances and driving up borrowing costs across Asia. With debt levels climbing, could climate-linked sovereign bonds offer a path to resilience? Their success depends on credibility, transparency, and strong regulatory oversight.

Climate Finance Asia’s latest policy brief, “ESG and Sovereign Debt: Can Climate-Linked Bonds Reshape Financial Stability in Asia?”, explores the role of ESG in sovereign debt markets and what’s needed to make climate-linked bonds a viable solution.

Authors:
Dr. Farhad Taghizadeh-Hesary (Climate Finance Asia, Japan)
Dr. Nawazish Mirza (Excelia Business School, France)
Dr. Amir Hasnaoui (Excelia Business School, France)

Request the full report at the link below: