The federal government is launching its sixth issuance of Canadian-dollar-denominated green bonds this week, subject to market conditions, the Department of Finance said in a release on Monday.
The issuance will be a new 10-year green bond. It follows the issuance of a new $1-billion 30-year bond in October 2025.
“The Government of Canada’s green bonds will meet demand from investors seeking green investment opportunities backed by Canada’s AAA credit rating, while contributing to the development of a stronger sustainable finance market both domestically and globally,” the Finance release said.
Other sovereign green bond issuers include France, Germany, Sweden, Spain, Italy and the U.K.
Canada’s green bond program launched in March 2022 in an effort to speed up projects related to green infrastructure and nature conservation. The green bond framework was updated in November 2023 to make certain nuclear expenditures eligible.
Since 2022, $15.5 billion of Canada green bonds have been issued under five previous transactions that issued bonds with maturities from seven to 30 years.
According to the government’s 2023–24 report on green bonds — the latest report — the greatest amount of investment is allocated to “multiple” green categories, followed by clean energy and clean transportation.
Budget 2025 said that global investments in clean energy reached US$2 trillion in 2024 — nearly double the level of investment in fossil fuels — and that the global clean technology market is expected to triple by 2035.
The budget outlined a “climate competitiveness strategy” to “build new infrastructure and capitalize on projects that further Canada’s standing as a clean energy superpower.” It said it would “explore initiatives such as nuclear energy, electricity grid interties, and investments in low-carbon fuels such as hydrogen, renewable energy projects, high-speed rail, and critical mineral development.”