India Aims to Expand ESG Debt Sector as Nation Hits Record (1)

India’s market regulator intends to expand the scope of its sustainable finance framework to include more products, a potential boost to ESG-labeled instruments in Asia.

The Securities and Exchange Board of India will consult on introducing social bonds, along with sustainable and sustainability-linked bonds, to the current suite of environmental, social and governance debt.

Plans also include adding eligible asset-backed securities and a requirement for independent external reviews of all ESG debt, according to a consultation paper released Friday.

“The proposal is a positive move for the market,” said Xuan Sheng Ou Yong, sustainable fixed income lead for Asia ...