The sustainable finance market size is projected to cross a valuation of US$ 60,35,620.4 million in 2024. The industry is projected to surpass a valuation of US$ 3,76,83,566 million by 2034. The growing demand from investors for environmentally and socially responsible investment opportunities encourages financial institutions to incorporate sustainability into their portfolios. Companies are responding to this demand to attract a broader investor base.
The adoption of sustainable finance is anticipated to rise at a CAGR of 20.10% from 2024 to 2034. Financial institutions are innovating by introducing sustainable financial products, such as green bonds and sustainability-linked loans. This diversification caters to the evolving preferences of investors seeking sustainable investment avenues.
Adoption Analysis of the Sustainable Finance
| Attributes | Details |
|---|---|
| Sustainable Finance Market Value for 2024 | US$ 60,35,620.4 million |
| Sustainable Finance Market Value for 2034 | US$ 3,76,83,566 million |
| Sustainable Finance Market Forecast CAGR for 2024 to 2034 | 20.10% |
Don't pay for what you don't need
Customize your report by selecting specific countries or regions and save 30%!
| CAGR from 2019 to 2023 | 18.70% |
|---|---|
| CAGR from 2024 to 2034 | 20.10% |
The sustainable finance market exhibited robust historical performance with a CAGR of 18.70% from 2019 to 2023. This impressive growth was driven by a confluence of factors, including increased regulatory emphasis on sustainable practices, rising investor demand for ESG-aligned investments, and heightened awareness of environmental and social issues among businesses.
Looking ahead, the projected CAGR from 2024 to 2034 is expected to accelerate, reaching 20.10%.
While the historical performance reflects a strong foundation, the projected increase in CAGR suggests a positive outlook for the sustainable finance industry.
Environmental, Social, and Governance (ESG) integration is now a bedrock in financial decision-making, establishing itself as a standard practice embraced by both investors and financial institutions. This shift underscores a growing recognition of the material impact ESG factors can have on financial performance and the broader sustainability landscape.
Green bonds and sustainable debt instruments are experiencing a surge in popularity, responding to the increasing preference of businesses and governments for financing options aligned with environmentally friendly and socially responsible projects. This trend reflects a concerted effort to direct capital towards initiatives that contribute positively to the planet and society.
Regulatory bodies worldwide are placing a significant emphasis on sustainability reporting, compelling businesses to disclose their ESG performance. This regulatory push not only fosters transparency but also instills a sense of accountability, aligning corporate practices with broader sustainability goals.
The proliferation of sustainable indices mirrors the growing significance of ESG factors in investment decisions. Investors increasingly rely on these indices as guiding frameworks, emphasizing a mainstreaming of ESG considerations into the heart of investment strategies.
Continuous innovation is shaping the landscape of sustainable finance, introducing a diverse array of products such as sustainability-linked loans and green insurance. Financial institutions are actively responding to the evolving demands of investors, offering unique and impactful avenues for sustainable investment.
Principal Consultant
The section focuses on category-wise insights for the sustainable finance industry. The spotlight first discusses the dominant transaction type, which is green bonds, revealing its substantial market share of 33.30% in 2024. The focus shifts to the dominating investment type, where equity dominates the industry, with a share of 44.40% in 2024.
| Attributes | Detail |
|---|---|
| By Transaction Type | Green Bond |
| Market Share in 2024 | 33.30% |
The green bonds segment takes the lead with a substantial 33.30% share in 2024.
| Attributes | Detail |
|---|---|
| Dominating Investment Type | Equity |
| Market Share in 2024 | 44.40% |
The equity segment dominates the industry with a share of 44.40% in 2024.
This section offers the country-wise analysis of sustainable finance industry growth projections for key countries, expressed as CAGR through 2034. Examining each nation individually, the focus is on understanding market dynamics, regulatory frameworks, and noteworthy trends influencing sustainable finance demand.
| Countries | CAGR through 2034 |
|---|---|
| United States | 19.80% |
| Germany | 20.50% |
| China | 20.30% |
| India | 20.80% |
| United Kingdom | 21.10% |
The United States sustainable finance industry is anticipated to record a 19.80% CAGR from 2024 to 2034.
Germany sustainable finance industry is anticipated to record a 20.50% CAGR through 2034.
China sustainable finance market is poised to witness a remarkable 20.30% CAGR through 2034.
India sustainable finance industry is likely to rise at a stellar 20.80% CAGR through 2034.
With a steady 21.10% CAGR, the United Kingdom sustainable finance market is poised to flourish through 2034.
Get the data you need at a Fraction of the cost
Personalize your report by choosing insights you need
and save 40%!
The sustainable finance industry is amid a transformative phase. The maturing market sees a surge in competition, with traditional financial institutions vying against sustainability-focused firms, fintech startups, and asset management companies. This intensifying competition underscores the industry's diversification and the entry of innovative players.
Players are strategically differentiating themselves through innovative products like green bonds, climate-focused investment funds, and impactful investment solutions. Notably, the integration of Environmental, Social, and Governance (ESG) factors into traditional financial products is becoming a common strategy, reflecting a broader commitment to sustainability.
Recent Developments in the Sustainable Finance Industry
The sustainable finance market is projected to expand at a CAGR of 20.10% between 2024 and 2034.
The green bond segment dominates the sustainable finance industry.
BlackRock, Refinitiv, and Acuity Knowledge Partners are some of the top sustainable finance companies.
The sustainable finance market is anticipated to surpass US$ 3,76,83,566 million by 2034.
The escalating awareness of climate change and the pursuit of socially responsible investments drive the demand for ethical and sustainable finance solutions.
1. Executive Summary
1.1. Global Market Outlook
1.2. Demand-side Trends
1.3. Supply-side Trends
1.4. Technology Roadmap Analysis
1.5. Analysis and Recommendations
2. Market Overview
2.1. Market Coverage / Taxonomy
2.2. Market Definition / Scope / Limitations
3. Market Background
3.1. Market Dynamics
3.1.1. Drivers
3.1.2. Restraints
3.1.3. Opportunity
3.1.4. Trends
3.2. Scenario Forecast
3.2.1. Demand in Optimistic Scenario
3.2.2. Demand in Likely Scenario
3.2.3. Demand in Conservative Scenario
3.3. Opportunity Map Analysis
3.4. Investment Feasibility Matrix
3.5. PESTLE and Porter’s Analysis
3.6. Regulatory Landscape
3.6.1. By Key Regions
3.6.2. By Key Countries
3.7. Regional Parent Market Outlook
4. Global Market Analysis 2019 to 2023 and Forecast, 2024 to 2034
4.1. Historical Market Size Value (US$ Million) Analysis, 2019 to 2023
4.2. Current and Future Market Size Value (US$ Million) Projections, 2024 to 2034
4.2.1. Y-o-Y Growth Trend Analysis
4.2.2. Absolute $ Opportunity Analysis
5. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Investment Type
5.1. Introduction / Key Findings
5.2. Historical Market Size Value (US$ Million) Analysis By Investment Type, 2019 to 2023
5.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Investment Type, 2024 to 2034
5.3.1. Equity
5.3.2. Fixed Income
5.3.3. Mixed Allocation
5.3.4. Others
5.4. Y-o-Y Growth Trend Analysis By Investment Type, 2019 to 2023
5.5. Absolute $ Opportunity Analysis By Investment Type, 2024 to 2034
6. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Transaction Type
6.1. Introduction / Key Findings
6.2. Historical Market Size Value (US$ Million) Analysis By Transaction Type, 2019 to 2023
6.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Transaction Type, 2024 to 2034
6.3.1. Green Bond
6.3.2. Social Bond
6.3.3. Mixed-Sustainability Bond
6.4. Y-o-Y Growth Trend Analysis By Transaction Type, 2019 to 2023
6.5. Absolute $ Opportunity Analysis By Transaction Type, 2024 to 2034
7. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Industry Verticals
7.1. Introduction / Key Findings
7.2. Historical Market Size Value (US$ Million) Analysis By Industry Verticals , 2019 to 2023
7.3. Current and Future Market Size Value (US$ Million) Analysis and Forecast By Industry Verticals , 2024 to 2034
7.3.1. Utilities
7.3.2. Transport and Logistics
7.3.3. Chemicals
7.3.4. Food and Beverage
7.3.5. Government
7.3.6. Others
7.4. Y-o-Y Growth Trend Analysis By Industry Verticals , 2019 to 2023
7.5. Absolute $ Opportunity Analysis By Industry Verticals , 2024 to 2034
8. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Region
8.1. Introduction
8.2. Historical Market Size Value (US$ Million) Analysis By Region, 2019 to 2023
8.3. Current Market Size Value (US$ Million) Analysis and Forecast By Region, 2024 to 2034
8.3.1. North America
8.3.2. Latin America
8.3.3. Western Europe
8.3.4. Eastern Europe
8.3.5. South Asia and Pacific
8.3.6. East Asia
8.3.7. Middle East and Africa
8.4. Market Attractiveness Analysis By Region
9. North America Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
9.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023
9.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034
9.2.1. By Country
9.2.1.1. USA
9.2.1.2. Canada
9.2.2. By Investment Type
9.2.3. By Transaction Type
9.2.4. By Industry Verticals
9.3. Market Attractiveness Analysis
9.3.1. By Country
9.3.2. By Investment Type
9.3.3. By Transaction Type
9.3.4. By Industry Verticals
9.4. Key Takeaways
10. Latin America Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
10.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023
10.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034
10.2.1. By Country
10.2.1.1. Brazil
10.2.1.2. Mexico
10.2.1.3. Rest of Latin America
10.2.2. By Investment Type
10.2.3. By Transaction Type
10.2.4. By Industry Verticals
10.3. Market Attractiveness Analysis
10.3.1. By Country
10.3.2. By Investment Type
10.3.3. By Transaction Type
10.3.4. By Industry Verticals
10.4. Key Takeaways
11. Western Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
11.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023
11.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034
11.2.1. By Country
11.2.1.1. Germany
11.2.1.2. UK
11.2.1.3. France
11.2.1.4. Spain
11.2.1.5. Italy
11.2.1.6. Rest of Western Europe
11.2.2. By Investment Type
11.2.3. By Transaction Type
11.2.4. By Industry Verticals
11.3. Market Attractiveness Analysis
11.3.1. By Country
11.3.2. By Investment Type
11.3.3. By Transaction Type
11.3.4. By Industry Verticals
11.4. Key Takeaways
12. Eastern Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
12.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023
12.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034
12.2.1. By Country
12.2.1.1. Poland
12.2.1.2. Russia
12.2.1.3. Czech Republic
12.2.1.4. Romania
12.2.1.5. Rest of Eastern Europe
12.2.2. By Investment Type
12.2.3. By Transaction Type
12.2.4. By Industry Verticals
12.3. Market Attractiveness Analysis
12.3.1. By Country
12.3.2. By Investment Type
12.3.3. By Transaction Type
12.3.4. By Industry Verticals
12.4. Key Takeaways
13. South Asia and Pacific Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
13.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023
13.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034
13.2.1. By Country
13.2.1.1. India
13.2.1.2. Bangladesh
13.2.1.3. Australia
13.2.1.4. New Zealand
13.2.1.5. Rest of South Asia and Pacific
13.2.2. By Investment Type
13.2.3. By Transaction Type
13.2.4. By Industry Verticals
13.3. Market Attractiveness Analysis
13.3.1. By Country
13.3.2. By Investment Type
13.3.3. By Transaction Type
13.3.4. By Industry Verticals
13.4. Key Takeaways
14. East Asia Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
14.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023
14.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034
14.2.1. By Country
14.2.1.1. China
14.2.1.2. Japan
14.2.1.3. South Korea
14.2.2. By Investment Type
14.2.3. By Transaction Type
14.2.4. By Industry Verticals
14.3. Market Attractiveness Analysis
14.3.1. By Country
14.3.2. By Investment Type
14.3.3. By Transaction Type
14.3.4. By Industry Verticals
14.4. Key Takeaways
15. Middle East and Africa Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
15.1. Historical Market Size Value (US$ Million) Trend Analysis By Market Taxonomy, 2019 to 2023
15.2. Market Size Value (US$ Million) Forecast By Market Taxonomy, 2024 to 2034
15.2.1. By Country
15.2.1.1. GCC Countries
15.2.1.2. South Africa
15.2.1.3. Israel
15.2.1.4. Rest of MEA
15.2.2. By Investment Type
15.2.3. By Transaction Type
15.2.4. By Industry Verticals
15.3. Market Attractiveness Analysis
15.3.1. By Country
15.3.2. By Investment Type
15.3.3. By Transaction Type
15.3.4. By Industry Verticals
15.4. Key Takeaways
16. Key Countries Market Analysis
16.1. USA
16.1.1. Pricing Analysis
16.1.2. Market Share Analysis, 2023
16.1.2.1. By Investment Type
16.1.2.2. By Transaction Type
16.1.2.3. By Industry Verticals
16.2. Canada
16.2.1. Pricing Analysis
16.2.2. Market Share Analysis, 2023
16.2.2.1. By Investment Type
16.2.2.2. By Transaction Type
16.2.2.3. By Industry Verticals
16.3. Brazil
16.3.1. Pricing Analysis
16.3.2. Market Share Analysis, 2023
16.3.2.1. By Investment Type
16.3.2.2. By Transaction Type
16.3.2.3. By Industry Verticals
16.4. Mexico
16.4.1. Pricing Analysis
16.4.2. Market Share Analysis, 2023
16.4.2.1. By Investment Type
16.4.2.2. By Transaction Type
16.4.2.3. By Industry Verticals
16.5. Germany
16.5.1. Pricing Analysis
16.5.2. Market Share Analysis, 2023
16.5.2.1. By Investment Type
16.5.2.2. By Transaction Type
16.5.2.3. By Industry Verticals
16.6. UK
16.6.1. Pricing Analysis
16.6.2. Market Share Analysis, 2023
16.6.2.1. By Investment Type
16.6.2.2. By Transaction Type
16.6.2.3. By Industry Verticals
16.7. France
16.7.1. Pricing Analysis
16.7.2. Market Share Analysis, 2023
16.7.2.1. By Investment Type
16.7.2.2. By Transaction Type
16.7.2.3. By Industry Verticals
16.8. Spain
16.8.1. Pricing Analysis
16.8.2. Market Share Analysis, 2023
16.8.2.1. By Investment Type
16.8.2.2. By Transaction Type
16.8.2.3. By Industry Verticals
16.9. Italy
16.9.1. Pricing Analysis
16.9.2. Market Share Analysis, 2023
16.9.2.1. By Investment Type
16.9.2.2. By Transaction Type
16.9.2.3. By Industry Verticals
16.10. Poland
16.10.1. Pricing Analysis
16.10.2. Market Share Analysis, 2023
16.10.2.1. By Investment Type
16.10.2.2. By Transaction Type
16.10.2.3. By Industry Verticals
16.11. Russia
16.11.1. Pricing Analysis
16.11.2. Market Share Analysis, 2023
16.11.2.1. By Investment Type
16.11.2.2. By Transaction Type
16.11.2.3. By Industry Verticals
16.12. Czech Republic
16.12.1. Pricing Analysis
16.12.2. Market Share Analysis, 2023
16.12.2.1. By Investment Type
16.12.2.2. By Transaction Type
16.12.2.3. By Industry Verticals
16.13. Romania
16.13.1. Pricing Analysis
16.13.2. Market Share Analysis, 2023
16.13.2.1. By Investment Type
16.13.2.2. By Transaction Type
16.13.2.3. By Industry Verticals
16.14. India
16.14.1. Pricing Analysis
16.14.2. Market Share Analysis, 2023
16.14.2.1. By Investment Type
16.14.2.2. By Transaction Type
16.14.2.3. By Industry Verticals
16.15. Bangladesh
16.15.1. Pricing Analysis
16.15.2. Market Share Analysis, 2023
16.15.2.1. By Investment Type
16.15.2.2. By Transaction Type
16.15.2.3. By Industry Verticals
16.16. Australia
16.16.1. Pricing Analysis
16.16.2. Market Share Analysis, 2023
16.16.2.1. By Investment Type
16.16.2.2. By Transaction Type
16.16.2.3. By Industry Verticals
16.17. New Zealand
16.17.1. Pricing Analysis
16.17.2. Market Share Analysis, 2023
16.17.2.1. By Investment Type
16.17.2.2. By Transaction Type
16.17.2.3. By Industry Verticals
16.18. China
16.18.1. Pricing Analysis
16.18.2. Market Share Analysis, 2023
16.18.2.1. By Investment Type
16.18.2.2. By Transaction Type
16.18.2.3. By Industry Verticals
16.19. Japan
16.19.1. Pricing Analysis
16.19.2. Market Share Analysis, 2023
16.19.2.1. By Investment Type
16.19.2.2. By Transaction Type
16.19.2.3. By Industry Verticals
16.20. South Korea
16.20.1. Pricing Analysis
16.20.2. Market Share Analysis, 2023
16.20.2.1. By Investment Type
16.20.2.2. By Transaction Type
16.20.2.3. By Industry Verticals
16.21. GCC Countries
16.21.1. Pricing Analysis
16.21.2. Market Share Analysis, 2023
16.21.2.1. By Investment Type
16.21.2.2. By Transaction Type
16.21.2.3. By Industry Verticals
16.22. South Africa
16.22.1. Pricing Analysis
16.22.2. Market Share Analysis, 2023
16.22.2.1. By Investment Type
16.22.2.2. By Transaction Type
16.22.2.3. By Industry Verticals
16.23. Israel
16.23.1. Pricing Analysis
16.23.2. Market Share Analysis, 2023
16.23.2.1. By Investment Type
16.23.2.2. By Transaction Type
16.23.2.3. By Industry Verticals
17. Market Structure Analysis
17.1. Competition Dashboard
17.2. Competition Benchmarking
17.3. Market Share Analysis of Top Players
17.3.1. By Regional
17.3.2. By Investment Type
17.3.3. By Transaction Type
17.3.4. By Industry Verticals
18. Competition Analysis
18.1. Competition Deep Dive
18.1.1. ACUITY KNOWLEDGE PARTNERS
18.1.1.1. Overview
18.1.1.2. Product Portfolio
18.1.1.3. Profitability by Market Segments
18.1.1.4. Sales Footprint
18.1.1.5. Strategy Overview
18.1.1.5.1. Marketing Strategy
18.1.2. PWC
18.1.2.1. Overview
18.1.2.2. Product Portfolio
18.1.2.3. Profitability by Market Segments
18.1.2.4. Sales Footprint
18.1.2.5. Strategy Overview
18.1.2.5.1. Marketing Strategy
18.1.3. STRIPE
18.1.3.1. Overview
18.1.3.2. Product Portfolio
18.1.3.3. Profitability by Market Segments
18.1.3.4. Sales Footprint
18.1.3.5. Strategy Overview
18.1.3.5.1. Marketing Strategy
18.1.4. REFINITIV
18.1.4.1. Overview
18.1.4.2. Product Portfolio
18.1.4.3. Profitability by Market Segments
18.1.4.4. Sales Footprint
18.1.4.5. Strategy Overview
18.1.4.5.1. Marketing Strategy
18.1.5. GOLDMAN SACHS
18.1.5.1. Overview
18.1.5.2. Product Portfolio
18.1.5.3. Profitability by Market Segments
18.1.5.4. Sales Footprint
18.1.5.5. Strategy Overview
18.1.5.5.1. Marketing Strategy
18.1.6. TREECARD
18.1.6.1. Overview
18.1.6.2. Product Portfolio
18.1.6.3. Profitability by Market Segments
18.1.6.4. Sales Footprint
18.1.6.5. Strategy Overview
18.1.6.5.1. Marketing Strategy
18.1.7. KPMG INTERNATIONAL
18.1.7.1. Overview
18.1.7.2. Product Portfolio
18.1.7.3. Profitability by Market Segments
18.1.7.4. Sales Footprint
18.1.7.5. Strategy Overview
18.1.7.5.1. Marketing Strategy
18.1.8. HSBC GROUP
18.1.8.1. Overview
18.1.8.2. Product Portfolio
18.1.8.3. Profitability by Market Segments
18.1.8.4. Sales Footprint
18.1.8.5. Strategy Overview
18.1.8.5.1. Marketing Strategy
18.1.9. STARLING BANK
18.1.9.1. Overview
18.1.9.2. Product Portfolio
18.1.9.3. Profitability by Market Segments
18.1.9.4. Sales Footprint
18.1.9.5. Strategy Overview
18.1.9.5.1. Marketing Strategy
18.1.10. BNP PARIBAS
18.1.10.1. Overview
18.1.10.2. Product Portfolio
18.1.10.3. Profitability by Market Segments
18.1.10.4. Sales Footprint
18.1.10.5. Strategy Overview
18.1.10.5.1. Marketing Strategy
19. Assumptions & Acronyms Used
20. Research Methodology
Explore Technology Insights
View Reports
Sustainable Finance Market
