ING: APAC on Track for Record Year in Sustainable Finance
While certain markets are retreating in sustainable finance, APAC is on the rise with the region expected to achieve a record-breaking year in 2025, according to ING.
Year-to-date in 2025, global sustainable finance issuance reached $852 billion, according to ING’s Sustainable Finance Pulse report. This is slightly below the same period in 2024 but in line with 2023 and 2022 levels.
The Dutch bank said the first quarter was marked by «disruption and uncertainty» while the second quarter demonstrated «resilience and adaptability» with $432 billion of issuance, outperforming second-quarter volumes from the previous two years.
Regional Divergence
Divergence between regions is increasingly intensifying with the US contracting due to reduced sustainable policy support, while the EU has shifted towards competitiveness. Asia Pacific is emerging as a noteworthy participant with strong issuance from corporates and financial institutions expected to lead to a record-breaking year.
According to Candy Tang, director of sustainable solutions group for ING Mainland China and Hong Kong SAR, Greater China was a significant driver with alignment to decarbonization goals and continued support from the Green and Sustainable Finance Grant Scheme launched by the Hong Kong Monetary Authority. In terms of instruments, green bonds remain a key contributor due to volume and their straightforward structure.
«APAC is on track for a record-breaking year in sustainable issuance, fuelled by corporates across Greater China and the broader Asia-Pacific region demonstrating strong commitments to decarbonisation and climate risk management, with net-zero targets firmly in focus,» Tang reiterated.
