Journal Article

Does Labelled Issuance Change Allocation? Evidence from Indonesia's Sovereign Green Sukuk

Arif Ramadhan & Bayu Pranata

2024Journal of Sustainable Finance & InvestmentSustainable Investment

Abstract

Indonesia's sovereign green sukuk programme is among the longest-running in the world. We trace allocated proceeds to underlying budget lines and test for additionality against a synthetic counterfactual. We find limited evidence that issuance increased total green expenditure, though reporting quality improved markedly over the sample period.