economics hard Fill in the Blank

In the context of sovereign debt, a '___ Bond' is specifically issued by a government or corporation to raise capital exclusively for financing projects that have positive environmental or climate-related benefits.

  1. Rules
  2. Green
  3. 279A
  4. Governing Council

Answer: Green

Green Bonds have gained immense traction globally as nations transition toward net-zero emissions. The funds raised are strictly ring-fenced and audited for use in renewable energy, clean transportation, or sustainable water management projects. The RBI and the Government of India have recently started issuing Sovereign Green Bonds to fund public sector sustainability initiatives.

Topic Banking - Financial Markets
Exam Relevance UPSC Prelims, Banking, SSC
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