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News from 2019-03-07 / KfW Research
Green bonds – a sustainable alternative for municipal infrastructure finance?
The need for climate action and environmental protection requires German municipalities to invest large sums in infrastructure as well. Municipalities are already deploring a significant backlog of investment and it is unclear how they can finance the necessary investments in enhancing sustainability. Green bonds were developed as a financing instrument to meet this challenge but are almost unknown in Germany’s municipalities. In order for this to change, a number of conditions have to be fulfilled.
Green bonds – a sustainable alternative for municipal infrastructure finance?