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ARTICLE · 05 AUGUST 2025

ISDA'S Approach To Sustainability-Linked Derivatives

The world of today is confronted with an extensive range of economic, social, and environmental challenges, necessitating the active engagement of governments, private sector institutions, and individuals in finding solutions

TurkeyFinance and Banking

A. INTRODUCTION

The world of today is confronted with an extensive range of economic, social, and environmental challenges, necessitating the active engagement of governments, private sector institutions, and individuals in finding solutions. The concept of sustainable development has emerged within the global society. This idea assumes that there is a connection between consistent economic growth, social security, and the reduction of adverse environmental impacts.

The term "green" is used to describe many ecological processes and phenomena in a vibrant and powerful manner. The term "green economy" refers to an economically sustainable system that enhances the overall well-being of all individuals while operating within our planet's ecological limitations.1

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