WBCS.LIVE practice question
Financial instruments that generate proceeds for investment in environmentally sustainable projects are called
Solve this multiple-choice question and check the correct answer with its explanation below.
Answer options
Correct answer and explanation
Correct answer: Green bonds
Explanation: Green bonds are financial instruments that generate proceeds for investment in environmentally sustainable projects. Other Information: ▪️ Fund renewable energy, clean water, pollution control, and climate adaptation projects. ▪️ Issued by government bodies, banks, and corporations. ▪️ Encourage sustainable investment and ESG (Environmental, Social, Governance) compliance. ▪️ Complement other instruments like low emission bonds and environment bonds. ▪️ Help countries achieve climate targets and support green infrastructure development.