Usage Of Green Bonds in Financing Sustainable Development

Sustainable development is a development model that aims to ensure economic growth, environmental protection, and social welfare simultaneously. Sustainable development plays a critical role in addressing global challenges such as climate change, resource depletion, and environmental degradation. In this context, green bonds stand out as financial instruments specifically designed to fund environmentally friendly projects. Rapidly growing in global markets, green bonds provide financial returns to investors while promoting sustainable investments and generating both economic and environmental benefits. This study examines the role of green bonds in financing sustainable development. Reports from international organizations such as the World Bank, the Organization for Economic Co-operation and Development (OECD), and the International Capital Market Association (ICMA), as well as financial databases and official data on green bond issuances in Turkey, were utilized in the research. The issuance of green bonds in global and national markets, investor interest, market growth trends, and challenges were analyzed. In the Turkish context, it was determined that the first green bond issuance was carried out by the Industrial Development Bank of Turkey (TSKB) in 2016. The findings indicate that green bonds are a crucial financial tool for achieving sustainable development goals. In Turkey, further development of the green bond market requires increasing financial incentives, strengthening the regulatory framework, and raising investor awareness. Expanding green finance will contribute not only to mitigating environmental risks but also to ensuring long-term economic growth in a sustainable manner