The Green Bond Framework is a dynamic move aimed at reducing the carbon intensity of the economy and to achieve the ambition of “Net Zero carbon”. This will open up great opportunities for the investors and create a green developmental path for the Indian Economy, said Shri Saket Dalmia, President, PHD Chamber of Commerce and Industry in a press statement issued here today.
Shri Saket Dalmia congratulates the Finance Minister for announcing sovereign green bonds to mobilise resources for green infrastructure. The announcement is in sync with India’s commitment to achieving net-zero carbon emission by 2070. This issuance sends a powerful signal of intent around climate action and sustainable development to Government and regulators and will further provide impetus to institutional investors.
Sovereign Green Bonds will contribute in a great way to the Hon’ble Prime Minister’s concept of mass movement for ‘LIFE’– ‘Lifestyle for Environment’, said Shri Saket Dalmia.
This move, coming up just in time, will further strengthen the agenda of Green Energy, when India takes over the G20 Presidency from the 1st December, 2022, he said.
As the payments of principal and interest on the issuances under this Framework are not conditional on the performance of the eligible projects, these bonds will have assured returns without any project related risks and have a great potential to attract chunk of investments to support the green infrastructure in the economy, Shri Saket Dalmia added.
Shri Saket Dalmia emphasized that the support of Rs. 16,000 crores through the Sovereign Green Bonds would go a long way to strengthen India’s journey towards reducing the carbon intensity of the economy, improving energy efficiency, increasing the forest cover and developing sustainable habitat standards.
Shri Dalmia Stated that Commitment of the Government of India to provide investors with transparent reporting on the allocation of proceeds of Sovereign Green Bonds as well as on the environmental impact of projects funded by the proceeds will increase the confidence and trust level of investors.
We are confident that Sovereign Green Bonds would go a long way to enhance the growth trajectory of the country and a great move towards economic development, said Shri Saket Dalmia.