The consultation was organized within the framework of the EU Green Recovery Facility, a four-year initiative funded by the European Union (EU) and implemented by Expertise France.
The initiative aims to support Sri Lanka’s transition towards a green economy by addressing structural barriers in sustainable finance.
Green bonds have the potential to play a crucial role in mobilizing capital for climate action, aligning with Sri Lanka’s net-zero commitments and Nationally Determined Contributions (NDCs).
However, limited issuance in the local market has revealed a range of challenges, including the need for sector-specific financing solutions and enhanced investor confidence in green financial instruments.
As part of this effort, an analysis was conducted to identify key obstacles in issuing corporate green bonds in Sri Lanka. Mr. Jason Taylor, Team Leader at Baastel, presented the findings, conclusions, and key recommendations of the study.
The study examined the full spectrum of challenges – from identifying financial gaps in priority sectors to gauging investor interest in green financial products.
This Consultation Session provided an opportunity for stakeholders to critically engage with the study’s recommendations and allow the Facility to collect comments to tailor the recommendations.
During the consultation, Mr. Johann Hesse, Head of Cooperation at the European Union Delegation to Sri Lanka, shared insights on the EU’s support for green finance initiatives.
Ms. Kumudini Vidyalankara, Director of Environment Planning & Economics at the Ministry of Environment, highlighted the role of policy frameworks in supporting the issuance of green bonds.
Representing the CSE, Ms. Punyamali Saparamadu, Senior Vice President Commercial, discussed the CSE’s role in facilitating green bond listings in the market.
The EU and CSE remain committed to supporting the development of the green bond market and working with stakeholders to drive sustainable financial solutions in Sri Lanka.
Photo Caption Mr. Jason Taylor, Team Leader at Baastel conducting a presentation on an analysis that identified key obstacles in issuing corporate green bonds in Sri Lanka.