And while it may seem, at the moment, that the appetite for green bonds is voracious, it isn’t unlimited. Saudi Arabia’s green bonds to finance projects it can fund out of pocket can potentially crowd out green bond issues by less wealthy countries. A study by Imperial College London revealed in March that emerging economies are already lagging in the race to attract green financing—a blow to the effort to launch the world into its great green transition, and to limit the planet’s warming to 1.5°C.

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