Press release, Biodiversity Bonds market
Biodiversity Bonds Market to Reach USD 52.3 Billion by 2034 as Commercial Banks Start Issuing Nature Bonds
By Growth Market Reports Research, published , updated
Ontario, California, 28 September 2026. The global biodiversity bonds market was worth USD 21.8 billion in 2025 and will reach USD 52.3 billion by 2034, growing at a CAGR of 10.2%, according to the new Biodiversity Bonds Market report from Growth Market Reports. The report measures the proceeds that green, sustainability, blue and nature bonds allocate to ecosystems, plus the conservation value of debt-for-nature conversions, outcome bonds and sustainability-linked bonds with biodiversity targets. Its headline finding: nature bonds are moving beyond development banks and sovereigns into commercial banking.
A commercial bank issues a Nature Bond
On 14 May 2026, Ecobank Transnational priced a USD 450 million, 10.25-year Tier 2 Nature Bond, upsized from USD 350 million on an orderbook of USD 1.36 billion. The proceeds fund sustainable agriculture and natural capital loans across Ecobank's African network. It is the first bond from a commercial bank to carry the Nature Bond designation that the International Capital Market Association created in its June 2025 practitioner's guide, which lets a green bond whose proceeds go exclusively to nature carry the label. The City of Nagoya had already priced a JPY 10.3 billion Green/Nature Bond in September 2025.
Results-linked structures grow fastest
Green bonds with a biodiversity or land-use category remain the largest bond type, at 83% of 2025 value. The fastest-growing type is the group of sustainability-linked, outcome and conversion bonds, whose terms depend on conservation results. In January 2026, Chile priced a EUR 1.5 billion sustainability-linked bond, the first with a standalone biodiversity KPI tied to its protected-area targets. In April 2026, the World Bank priced a USD 120 million, 14-year Spekboom Restoration Outcome Bond for 50,000 hectares in South Africa's Eastern Cape, with BNP Paribas as sole lead manager.
Europe leads, Middle East and Africa grow fastest
Europe holds 41% of the market, driven by sovereign green bond programs that allocate part of their proceeds to forests, landscapes and species. Asia Pacific follows with 28%, Latin America 14%, North America 11% and the Middle East and Africa 6%. The Middle East and Africa is the fastest-growing region at a 12.1% CAGR, from a small base, as outcome bonds for South Africa, Gabon's blue bond conversion and bank-issued nature bonds widen the issuer base.
Governments issue, banks arrange
Governments are the largest issuer group, with 36% of 2025 value, and financial institutions are the fastest-growing issuers. By application, sustainable forestry and reforestation leads with 30%, while marine and coastal ecosystems grow fastest as blue bonds and ocean debt conversions spread. By Growth Market Reports' analysis, the five leading arrangers, BNP Paribas, Credit Agricole CIB, Bank of America, JPMorgan and HSBC, arranged about 31% of biodiversity bond volume.
Demand for the instruments is backed by policy. Target 19 of the Kunming-Montreal Global Biodiversity Framework calls for at least USD 200 billion a year of biodiversity finance by 2030. Labeled supply is also rising: the Climate Bonds Initiative reported a record USD 210.8 billion of aligned green bonds in the second quarter of 2026.
"Biodiversity finance has spent a decade as a series of one-off landmark deals. A commercial bank issuing a Nature Bond and a sovereign putting a standalone biodiversity target in its bond terms suggest the market is becoming repeatable. The test for investors over the next few years is reporting: issuers that can show hectares protected and species outcomes will price better than those that cannot."
Raksha Sharma, Research Lead, Growth Market Reports
About the report
The Biodiversity Bonds Market report covers 2023 to 2034 with a 2025 base year, segmented by bond type, issuer, application and end user across five regions and 18 countries, with profiles of the leading arrangers, issuers and structurers and a pricing chapter on coupons, conservation commitments and certification fees. It combines primary interviews with industry participants and secondary research built from Climate Bonds Initiative issuance data, official green bond allocation reports and issuer disclosures. Request a free sample of the biodiversity bonds market report.
About Growth Market Reports
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Segment, regional and company data for 2023 to 2034, with a free sample.
Sources
- Ecobank Transnational Incorporated (NGX filing), "Ecobank Successfully Prices USD 450 Million Sustainable Agriculture & Natural Capital Tier 2 Eurobond", 2026-05-14
- International Capital Market Association (ICMA), "Sustainable Bonds for Nature: A Practitioner's Guide", 2025-06
- City of Nagoya, "September 2025 5-year Green/Nature Bond issuance", 2025-09-05
- Crédit Agricole CIB, "Crédit Agricole CIB supports the Republic of Chile on its first Sustainability-Linked Bond with a standalone biodiversity KPI", 2026-01-14
- World Bank, "World Bank Prices 14-Year Spekboom Restoration Outcome Bond in South Africa", 2026-04-23
- Secretariat of the Convention on Biological Diversity, "Kunming-Montreal Global Biodiversity Framework, Target 19", 2022-12
- Climate Bonds Initiative, "Record green quarter pushes aligned sustainable debt to USD7.3tn", 2026-09-09