Chile and Uruguay are the world’s first and only issuers of sovereign SLBs — instruments that present unique opportunities for sovereign finance.

In the last couple of years, many sovereign issuers have entered the sustainable finance market as a financing alternative. More will likely follow, including emerging market sovereigns. Sustainable finance offers various opportunities, including the ability to demonstrate a country’s commitment to sustainability and increase its potential investor base. Certain ESG investors specifically look to emerging markets because they see sustainable finance as a chance to diversify their portfolio and create a significant ESG impact in historically underfunded regions.