Green and sustainable finance issuances hit $12B in 2025: Al-Falih

Minister of Investment Khalid Al-Falih

Issuances dedicated to green investments and sustainable finance reached $12 billion in 2025, said Minister of Investment Khalid Al-Falih.

Speaking at the Development Finance Conference, Al-Falih noted that Saudi Arabia holds the largest share in the region for green finance and environmental, social, and governance (ESG) initiatives, representing two-thirds of such efforts in the Middle East.

He highlighted that the Public Investment Fund (PIF) manages several specialized investment funds for green market bonds with maturities of up to 100 years, which have now begun trading, alongside other issuances in the debt market.

He added that there is strong global demand for green investments in Saudi Arabia, with corporate restructuring efforts cooperating closely with the government in this regard.

Al-Falih further noted that the Capital Market Authority (CMA), in coordination with Tadawul, has established guidelines and principles for green debt bonds, particularly concerning carbon credits.

He emphasized that Saudi Arabia hosts the largest carbon credit market in the Middle East and the largest global carbon credit auction.

The minister highlighted that the Kingdom has set ambitious targets, achievable through artificial intelligence (AI) over the coming years, with estimated investments of around $30 billion, aimed at establishing Saudi Arabia as a global hub for AI.