ESG securitisation
China’s property downturn is weighing on yet another corner of financial markets: ESG-labeled securitised debt.
Chinese developers are issuing far fewer securities tied to climate or social objectives, resulting in only US$2.8 billion ($3.76 billion) being raised in Asia Pacific in the first half, data compiled by Bloomberg Intelligence show. That’s an 86% drop from a year earlier, and bucks a trend in both the US and the Europe, the Middle East and Africa region, which saw increases.
