Sustainable bond issuance in Asia-Pacific is projected to increase in 2025 with issuers preferring to access the local currency markets due to cheaper funding costs. A record high issuance of US$260 billion in Asia-Pacific is expected this year, according to a February 24 S&P Global Ratings report, up from US$246 billion in 2024 on the back of lower interest rates, refinancing requirements, regulatory reassurance on instruments’ claims and increasing participation of sovereign and government-linked entities to meet their sustainability agendas. However, economic uncertainty, evolving trade policies and geopolitical tensions may still weigh on the issuance as slower global demand hits growth in the region. […]