Current Affairs · Sustainable Finance
Which one of the following best describes the term 'Transition Bonds'?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Bonds issued to finance the gradual decarbonization of high-emission industries as they shift toward cleaner technologies.✓
- 2Rupee-denominated bonds issued outside India to avoid domestic foreign exchange risks.
- 3Bonds that raise capital for companies operating exclusively in 100% clean and renewable energy sectors.
- 4Bonds issued by central banks to manage short-term liquidity fluctuations in foreign exchange markets.
Correct answer
Bonds issued to finance the gradual decarbonization of high-emission industries as they shift toward cleaner technologies.
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