ASEAN Sustainable Finance State of the Market 2020

The ASEAN sustainable finance market reached a record high of USD 12.8bn in GSS bond and loan issuance in 2020. Singapore leads the region in volume, particularly through green loans for real estate, while Indonesia and Thailand show strong growth driven by sovereign issuances. The market is increasingly diversifying into sustainability-linked instruments and social bonds, although the latter remained less active in 2020. The report highlights the critical role of government support, the development of regional and national taxonomies, and the influence of Development Finance Institutions (DFIs) in scaling green infrastructure.

• ASEAN issuance of green, social, and sustainability (GSS) bonds and loans reached a record high of USD 12.8bn in 2020, representing a slight increase from USD 11.5bn in 2019, with cumulative issuance reaching USD 29.4bn.
• Singapore is the regional leader in sustainable finance, accounting for 53% of total issuance in 2020, with a market heavily dominated by green loans in the real estate sector.
• Green buildings and energy are the primary drivers of green investment in ASEAN, together capturing a record 79% of total proceeds in 2020, with buildings accounting for nearly half of the cumulative volume.
• The ASEAN sustainable finance market is increasingly driven by the private sector; in 2020, non-financial corporates represented 67% of total green bond issuance.
• Indonesia has established itself as a major issuer through sovereign green sukuk, with three such issuances totaling USD 2.8bn, attracting significant interest from both global and retail green investors.
• Thailand's sustainable finance market saw significant growth in 2020, highlighted by the issuance of a USD 3.45bn sovereign sustainability bond, the first of its kind for a sovereign in Southeast Asia.
• Sustainability-linked loans (SLLs) and bonds (SLBs) are emerging as a novel way to mobilize capital, with a combined size of USD 4.8bn for instruments issued between 2020 and early 2021 across Malaysia, Singapore, and Thailand.
• The ASEAN social and sustainability bond markets remain in an early stage, constituting only 1% of the global market, with sustainability labels dominating 89% of the cumulative USD 5.8bn issued between 2015 and 2020.
• There is a regional movement toward establishing a common language for sustainable finance through the development of an ASEAN Taxonomy for Sustainable Finance, complementing national initiatives in Malaysia, Singapore, Vietnam, Indonesia, and the Philippines.
• Development Finance Institutions (DFIs) and the ASEAN Catalytic Green Finance Facility (ACGF) play a critical role in de-risking projects and improving bankability; the ACGF has committed approximately USD 500m to nine projects with a total portfolio of nearly USD 3bn.

APA

Nguyet, P. T. M., Gunawan, N., Tukiainen, K., Rimaud, C., & Nguyen, Q. (2021). ASEAN Sustainable Finance State of the Market 2020. Climate Bonds Initiative. https://www.climatebonds.net/files/documents/publications/ASEAN-Sustainable-Finance-State-of-the-Market-2020.pdf

Chicago

Nguyet, Phi Thi Minh, Nabilla Gunawan, Krista Tukiainen, Cedric Rimaud, and Quynh Nguyen. ASEAN Sustainable Finance State of the Market 2020. Climate Bonds Initiative, 2021. https://www.climatebonds.net/files/documents/publications/ASEAN-Sustainable-Finance-State-of-the-Market-2020.pdf.

Wikipedia

{{cite report |last1=Nguyet |first1=Phi Thi Minh |last2=Gunawan |first2=Nabilla |last3=Tukiainen |first3=Krista |last4=Rimaud |first4=Cedric |last5=Nguyen |first5=Quynh |title=ASEAN Sustainable Finance State of the Market 2020 |publisher=Climate Bonds Initiative |date=April 2021 |url=https://www.climatebonds.net/files/documents/publications/ASEAN-Sustainable-Finance-State-of-the-Market-2020.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{nguyet2021asean, author = {Nguyet, Phi Thi Minh and Gunawan, Nabilla and Tukiainen, Krista and Rimaud, Cedric and Nguyen, Quynh}, title = {{ASEAN Sustainable Finance State of the Market 2020}}, institution = {Climate Bonds Initiative}, year = {2021}, month = apr, url = {https://www.climatebonds.net/files/documents/publications/ASEAN-Sustainable-Finance-State-of-the-Market-2020.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }