This guide introduces digital green bonds for urban climate finance. A digital upgrade to traditional green bonds, digital green bonds are built on distributed ledger technology and paired with digital measurement, reporting and verification infrastructure. They are a potential way for cities to mobilise capital for projects faster and with greater confidence and lower friction, creating a pathway for more inclusive and credible urban climate finance. Regional public authorities are best placed to issue digital green bonds, but scaling them will require capacity building and supported pilots. Retrofits are an ideal testing ground due to relatively high data availability, clear and measurable outcomes as well as established underpinning financial models.
