EU-funded green recovery facility drives recognition for Lanka's sustainable bonds

Sri Lanka’s sustainable finance sector has gained regional recognition at the Environmental Finance Sustainable Debt Awards 2026.

- 

This progress has been driven in part by the European Union-funded Green Recovery Facility, implemented by Expertise France.The Facility is a EUR 5 million initiative that aims to turn sustainability into tangible economic opportunities, driving both growth and resilience. In key areas, such as sustainable energy, circular economy, climate action, and sustainable finance, the Facility helps the government and businesses identify key actions, while stimulating innovation and unlocking public and private sector investment.

In line with its Global Gateway strategy, the European Union (EU) is fostering green investment in Sri Lanka, and in this context, supports the development of the green bond market to channel private finance into climate-resilient and sustainable projects. Since 2023, this EU-funded support, implemented by Expertise France, has contributed to improving market frameworks, enhancing institutional capacity, and building investor confidence in Sri Lanka’s sustainable finance landscape.

The initiative plays a central role in strengthening Sri Lanka’s Green, Social, Sustainability and Sustainability-Linked (GSS+) bond market. It works in close collaboration with the Colombo Stock Exchange (CSE) and technical partners to align local issuances with international standards.