The Government of Canada announced in its Budget 2025, tabled on 4 November 2025, its intention to explore the development of a Sustainable Bond Framework that would allow for future issuances of green and transition bonds by the federal government.
Canada already issues green bonds under its Green Bond Framework, published in 2022; a Sustainable Bond Framework would extend labelled issuance to transition bonds aligned with the forthcoming taxonomy.
TAXONOMY WORK GUIDES FRAMEWORK DESIGN
The Sustainable Bond Framework would be aligned with an arm's-length made-in-Canada sustainable investment taxonomy that the government has committed to having developed by the end of 2026. The budget said the government would select, by the end of 2025, an external organisation to develop the guidelines, which are due by the end of 2026.
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