Fitch Sees ESG-Debt Boost After Biggest US Climate Promise Yet

Ethical-focused debt sales are set to pick up after the US made its biggest financial commitment in history to fight climate change, according to Fitch Group’s sustainability arm.

Nneka Chike-Obi, head of APAC ESG research for Sustainable Fitch, is expecting more debt issuers to take advantage of the tax credits and other financial incentives for clean energy contained in the Inflation Reduction Act, which was signed into law in August by President Joe Biden.

“We certainly see this as supportive to ESG-labeled bond issuance,” she said in an email Wednesday. “The financial incentives from ...