ESG gap between advanced and emerging economies narrows
ESG bond allocations are slightly down overall, but EMDEs are catching up
Data from the Reserve Benchmarks 2026 shows there has been some convergence between advanced and emerging economies in the average allocation to bonds aligned to environmental, social and governance (ESG) goals.
Overall, nearly half (45%) of central bank reserve managers take steps to align their portfolio with ESG goals, and over a third (34%) hold ESG bonds.
ESG bonds still make up a relatively minor portion of the typical reserve portfolio: among those who hold them, the median allocation is 2
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