The Securities and Exchange Commission of Pakistan (SECP) Friday issued guidelines for issuance of green bonds in Pakistan. The Guidelines provide an easy and efficient procedure for issuance with concise offering document/prospectus. All issuers who are eligible to issue debt securities, including sukuk either by way of public offer or private placement are eligible to issue green bonds while ensuring compliance with applicable regulatory framework, said a press release issued here. The issuance of Green Bonds will help in initiating sustainable projects for combating climate change besides facilitating issuers of debt securities to diversify their source of financing. It will also provide an additional financing instrument to those investors who are conscious of financing/refinancing projects that contribute to the environment. To qualify as a green bond, the proceeds must finance or refinance green projects or activities that bring energy efficiency, protect the environment, utilize renewable energy, prevent and control pollution, use natural resources, projects related to land management, pollution free transportation, wastewater and water treatment, etc. As per the green bond database, Green Bonds worth US$ 1.2 trillion have been issued by different countries till date including US$ 297 billion in 2020 and US$ 130.9 billion in 2021(till April) showing an increasing trend. As per International Capital Market Association (ICMA)’s database, a total of 640 issues of Green Bonds have been made by 60 countries. Green bonds can be issued based on globally accepted standards/goals such as the International Capital Market Association (ICMA)’s Green Bond Principles, the UN’s Sustainable Development Goals (UN SDGs) etc.