In the past decade, we have seen a dramatic increase in sustainability-linked debt in both public bonds and bank loans, rising from some $30 million in issuances in 2013 to $1.6 trillion in 2021. But now, with US CEOs ranking higher national debt their #1 concern and higher borrowing costs their #4 concern, with corporate debt defaults rising, and with both pro- and anti-ESG regulatory and market forces at play, what does the future hold for the role of ESG in debt markets? This is a critical topic for public and private companies alike as they assess how ESG can help them in competing for capital at an affordable price.
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