Green bonds and other types of sustainable finance will soon
be the norm and non-environmental instruments will be the
outliers, according to sources.
Increasingly unpredictable weather events over the past year
in particular have shifted public opinion and spurred a number
of large-scale protests. Sean Kidney, chief executive officer
at Climate Bonds Initiative, said: "Weather is only going to
get hotter, and storms are only going to get more violent. In a
political sense, parties now fight on a platform of climate
change. It is hard not to anticipate what that will mean for
different industries – and remember that emissions are
continuing to rise."
Kidney anticipates that figures such as Greta Thunberg could
end up causing a regulatory headache for banks and other
institutions as they will make "governments panic into action,
potentially banning things that aren’t
environmentally sound. That is what is important in
understanding the need for institutions...