Green bond program

False

The government’s green bond program lets investors back public projects that:

  • progress Australia’s net zero transformation
  • support Australia’s environmental objectives.

Treasury and the Australian Office of Financial Management (AOFM) manage the program.

The AOFM website has more information:

  • the Green Bond Framework – which guides the program
  • allocation and impact reports showing:
    • projects financed though green bonds (Eligible Green Expenditures)
    • related climate and environmental impacts
  • an indicative list of Eligible Green Expenditures.

Issuing sovereign green bonds is a priority in Australia’s Sustainable Finance Roadmap.

Program management

The Treasury:

  • works with government agencies to identify potential Eligible Green Expenditures
  • prepares annual allocation and impact reports
  • supports the interdepartmental Green Bond Committee.

The AOFM:

  • issues Green Treasury Bonds
  • makes coupon and maturity payments to bond holders
  • consults investors.

The Green Bond Committee:

  • oversees the Framework
  • oversees allocation and impact reporting
  • select Eligible Green Expenditures based on criteria in the Framework.

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