Global financial markets had a tumultuous year in 2022. Major central banks responded to concerning inflation levels with a series of rate hikes, while geopolitical tensions heightened.

As a result, debt markets experienced a significant decline, with primary market activity falling by 19% compared to 2021. ESG bond markets saw an even bigger decline, dropping 26% as some issuers were reluctant to go to market with some opting to is issue `vanilla’ bonds during volatile market conditions. However, we have seen a rebound in 2023 and expect ESG bond issuance to approach 2021’s record-high of $1 trillion.