Green Bond Sustainable Infrastructure Development in India

Green Bond Sustainable Infrastructure Development in India

Neha Singh1, Piyush Kumar Singh2, Rajesh Kumar3

Faculty-of-Commerce & Management

Kalinga University

Abstract

The urgent need for sustainable infrastructure development in India has prompted an exploration of innovative financing mechanisms, with green bonds emerging as a pivotal solution. This research investigates the potential of green bonds to mobilize financial resources for environmentally sustainable projects across key sectors, including renewable energy, transportation, and waste management. By analysing existing regulatory frameworks, market dynamics, and stakeholder engagement processes, the study highlights the challenges and opportunities in the Indian green bond market.

Through a mixed-methods approach that includes case studies and quantitative analysis, the research identifies successful models of green bond issuance and their impact on project financing. Key findings suggest that while the interest in green investments is growing among Indian investors, significant barriers remain, such as limited awareness, regulatory ambiguities, and the need for standardized definitions of green projects.

The study proposes actionable recommendations for policymakers and industry stakeholders, emphasizing the importance of establishing a robust regulatory framework, enhancing investor education, and fostering public-private partnerships. By addressing these challenges, India can leverage green bonds as a vital tool for achieving its sustainable development goals and transitioning towards a low-carbon economy. Ultimately, this research contributes to the understanding of how innovative financial instruments can facilitate sustainable infrastructure development in emerging economies.