July 15 (Renewables Now) - About EUR 6.6 billion (USD 7.4bn) worth of green bonds were issued in Germany in 2018, with 60% of the proceeds going for renewable energy projects.
According to a new report released by the Climate Bonds Initiative, Germany ranked as the fourth largest country in terms of green bond issuance in 2018 when the global total surpassed USD 167.7 billion. The US ranked first with USD 34 billion issued, followed by China with USD 31 billion and France with USD 14 billion.
In Germany, the three biggest green bond issuers were KfW, which sold EUR 1.6 billion worth of green bonds, Berlin Hydro with EUR 1 billion, and Deutsche Hypo with EUR 600 million. EUR-denominated bonds accounted for around 89% of the total issuance.
Renewables topped use of proceeds, and then low carbon buildings accounted for 37% and green transport grabbed 2.6%.
The Climate Bonds Initiative expects that Germany will remain among the five largest green bond issuers through the rest of 2019 and into 2020. The country is also seen to attract global attention following a recent decision to join the club of sovereign green bond issuers.
The Financial Times reported last week that Germany is considering launching its maiden sovereign green bond issuance in 2020.
(EUR 1.0 = USD 1.127)