China Green Finance Policy Analysis Report 2021

The 'China Green Finance Policy Analysis Report 2021' examines the evolution of China's green bond market and the impact of national and regional policy frameworks. It highlights a significant market rebound in 2021, the unification of domestic standards through the Green Bond Endorsed Project Catalogue, and a positive correlation between local policy efficacy and green bond issuance. The report identifies challenges in information disclosure and asset selection, recommending the development of transition finance standards and enhanced transparency to attract further international and domestic capital.

• China's green bond market experienced a sharp rebound in 2021, with total issuance reaching USD109.4bn. Of this, USD68bn were recorded in the Climate Bonds Green Bond Database, making China the second-largest country source of green bonds globally in 2021, following the USA.
• The release of the Green Bond Endorsed Project Catalogue (2021 Edition) on 1 July 2021 served as a critical step in standardising the domestic market by unifying standards across different regulators. It aligned China's market with international standards by removing fossil-energy-related projects, such as clean coal utilisation and ultra-low emission transformation of coal-fired power plants, and introducing the "do no significant harm" principle.
• Renewable Energy was the dominant use of proceeds (UoP) for Chinese green bonds in 2021, accounting for 61% of the total (USD41.3bn), which is the highest amount recorded in any year.
• There is a positive correlation between the efficacy of local government green finance policies and the volume of green bond issuance. Regions with high policy stimulus scores, specifically Zhejiang, Guangdong, and Jiangsu provinces, have established more mature green finance environments and larger bond markets.
• Non-financial corporate issuers were the largest contributors to the green bond market in 2021, accounting for 46% of the total volume (USD31.2bn), followed by financial institutions at 35% (USD23.9bn).
• Information disclosure remains a significant weakness in the Chinese market. Many issuers use general or conceptual expressions that provide limited substantive information, and the proportion of bonds with pre-release third-party assessment and certification has decreased over the last two years.

APA

Long, A., Wu, V., Xu, X., & Xie, W. (2022). China Green Finance Policy Analysis Report 2021. Climate Bonds Initiative. https://www.climatebonds.net/files/documents/publications/China-Green-Finance-Policy-Analysis-Report-2021.pdf

Chicago

Long, Arthur, Valentina Wu, Xiaoyun Xu, and Wenhong Xie. China Green Finance Policy Analysis Report 2021. Climate Bonds Initiative, 2022. https://www.climatebonds.net/files/documents/publications/China-Green-Finance-Policy-Analysis-Report-2021.pdf.

Wikipedia

{{cite report |last1=Long |first1=Arthur |last2=Wu |first2=Valentina |last3=Xu |first3=Xiaoyun |last4=Xie |first4=Wenhong |title=China Green Finance Policy Analysis Report 2021 |publisher=Climate Bonds Initiative |date=April 2022 |url=https://www.climatebonds.net/files/documents/publications/China-Green-Finance-Policy-Analysis-Report-2021.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{long2022china, author = {Long, Arthur and Wu, Valentina and Xu, Xiaoyun and Xie, Wenhong}, title = {{China Green Finance Policy Analysis Report 2021}}, institution = {Climate Bonds Initiative}, year = {2022}, month = apr, url = {https://www.climatebonds.net/files/documents/publications/China-Green-Finance-Policy-Analysis-Report-2021.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }