The Dubai Financial Services Authority (DFSA) and the Hong Kong Monetary Authority (HKMA), with BloombergNEF as a knowledge partner, published a research report, Scaling Sustainable Debt in Emerging Markets, on the development of labelled debt markets across the Middle East and North Africa (MENA) and emerging Asia Pacific (APAC). The report finds labelled sustainable debt issuance has tripled since 2020 to USD 94 billion, with growth outpacing advanced APAC economies, and identifies scope to scale markets where sustainable projects are still often financed with unlabelled instruments. Green debt represents 52% of labelled issuance, mainly linked to major energy infrastructure financing, while renewable energy projects account for 36% of labelled sustainable bond financing. In MENA, the United Arab Emirates and Saudi Arabia make up 74% of issuance since 2023. The report flags that momentum may ease in 2025 amid shifting economic and geopolitical priorities and points to growth levers including clearer government guidance for issuers, stronger corporate issuance, and expansion beyond the green label and typical structures, illustrated through case studies on a DP World blue bond, an Emirates NDB sustainability-linked loan bond, and long-tenor green bond and loan financing by MTR Corporation Limited. It also notes regulators are increasingly encouraging transition and social finance frameworks, stronger disclosure standards, and innovation in sustainable instruments, including recent draft principles for climate transition planning issued by the UAE Sustainable Finance Working Group, of which DFSA is a founding member. The findings will be discussed at the DFSA–HKMA Joint Climate Finance Conference in Dubai on 26 November 2025.

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