Finance
A green bond is a type of fixed-income financial instrument specifically earmarked to raise funds for projects with environmental benefits, such as renewable energy installations, energy efficiency upgrades, or clean water infrastructure. Investors in green bonds lend money (by buying the bonds) to the issuer (which could be a government, municipality, or corporation) who commits to using the proceeds for qualifying green projects. Green bonds provide capital for sustainable projects while giving investors a transparent way to support and earn returns from environmentally friendly initiatives.