Greenium

    ESG & Governance

    The yield discount on a green bond compared with an otherwise identical conventional bond from the same issuer.

    A positive greenium means investors accept a slightly lower yield for the green label, so the issuer borrows more cheaply. It is usually small, often a few basis points, and changes with supply, demand and liquidity. Reuters estimated a greenium of about 4 basis points on India's 30-year sovereign green bond auction in August 2026.

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