SEBI has, by way of a Circular dated June 5, 2025, established a
new Framework for Environment, Social and Governance
(‘ESG') Debt Securities. This
framework includes social bonds, sustainability bonds, and
sustainability-linked bonds. The requirements under this Circular
are in addition to the requirements set out under the SEBI (Issue
and Listing of Non-Convertible Securities) Regulations, 2021 and
SEBI (Listing Obligations and Disclosure Requirements) Regulation,
2015. Key aspects of this framework include:
i. Social Bonds: Social Bonds are debt
securities for raising funds for projects or assets specifically
designed to address or mitigate social issues and achieve positive
social outcomes. These projects include initiatives under certain
prescribed categories such as affordable basic infrastructure,
affordable housing etc.;
