The Commission welcomes the political agreement reached yesterday between the European Parliament and the Council on the Commission's proposal for a European Green Bond Regulation.

This Regulation, which is an integral part of the European Green Deal, will establish an EU voluntary high-quality standard for green bonds. The European green bond standard (EUGBS) will be available to companies and public entities that wish to raise funds on capital markets to finance their green investments, while meeting tough sustainability requirements. In particular, issuers of EUGBS would need to ensure that at least 85% of the funds raised by the bond are allocated to economic activities that align with the Taxonomy Regulation. This will allow investors to more easily assess, compare and trust that their investments are sustainable, thereby reducing the risks posed by greenwashing.

Find out more here and here.

Political agreement reached between the European Parliament and Council on the European Green Bond Regulation