Japan Climate Transition Bond

Japan Climate Transition Bond

• The government of Japan has developed the "Japan Climate Transition Bond Framework" for the world's first government-labeled transition bond to be issued as a "Japan Climate Transition Bond".
• More than 150 trillion yen of public-private investment is required over the next 10 years for GX investment, and Japan have decided to issue 20 trillion yen of GX Economy Transition Bonds to finance these investments.
• The GX Economy Transition Bonds are not limited to the integrated issuance of existing JGBs as the same financial instruments, but also issue "climate transition bonds" that have been certified by an external review provider to assess (Second Party Opinion) for compliance with international standards as individual bonds.

(1) Framework

• Japan Climate Transition Bond Framework
• Second Party Opinion (DNV) / ANNEX
  • Additional assessment confirming alignment with the ICMA Climate Transition Bond Guidelines was published on March 19, 2026.
• Second Party Opinion (JCR)
  • Additional assessment confirming alignment with the ICMA Climate Transition Bond Guidelines was published on January 23, 2026.

(2) Reporting

• Allocation and Impact Report for FY2023 Issuance / Allocation Report for FY2024 Issuance 
   Second Party Opinion (JCR)
  • Climate Transition Bonds (Issued in FY2023) - Allocation and Impact Review
  • Climate Transition Bonds (Issued in FY2024) - Allocation Review
• Allocation Report for FY2023 Issuance
   Second Party Opinion (JCR)
  • Climate Transition Bonds (Issued in FY2023) - Allocation Review

(3) Reference

• Japan Climate Transition Bonds（Ministry of Finance）
• (reference) Pathways to Japan’s Green Transformation