Sustainability and finance go hand in hand in Luxembourg, and the country is a pioneer in the field of green finance. The country is notably home to the world’s first and leading platform exclusively dedicated to sustainable securities. The Luxembourg Green Exchange lists almost half of the world’s green bond volume and an estimated third of sustainable and social bonds.
Sustainable finance expertise
Luxembourg’s leading position as a green finance centre has been confirmed once again by the latest Global Green Financial Index (GGFI 8), which places the country in 2nd place in the EU and 5th globally. It moves up 1 place compared to the previous year, a ranking that, according to Luxembourg for Finance, “corroborates the strength of Luxembourg’s sustainable finance toolbox and expertise”.
“The position of Luxembourg, both globally and within the EU, attests to the strength of the Grand Duchy’s sustainable finance ecosystem; one that continues to grow and implement new initiatives and products to combat climate change,” comments Luxembourg for Finance CEO Nicolas Mackel.
Luxembourg ranks 4th in the world for the depth of its green finance (i.e. the degree to which green finance has penetrated the business of the financial centre), and 7th for its quality (the quality of green finance products and services on offer).