A surge of activity, sovereign developments and a new sustainable hybrid

In our monthly Sovereign, Supranationals and Agencies (SSA) sustainability newsletter we breakdown the trending ESG* trades and themes, helping SSAs get ahead of the latest issues shaping the market.

SSA GSS/S Issuance

GSS/S issuance increased in September across all three labels, (+44% compared to 2022). Green GSS/S issuance (c. $110.5bn) represents 45% of GSS/S issuance in 2023 year-to-date (YTD) – with a slight lead relative to social and sustainable issuance (23% and 31% respectively). GSS/S issuance in the SSA space is led by Agencies/Local Authorities (46%), followed by Supranationals (29%) and then Sovereigns (25%).

SSA GSS/S Supply 2022-2023 YTD

Source: Dealogic (01/10/23)

Global EUR/GBP/USD SSA GSS Issuance

  • Sovereign: YTD GSS issuance of $61bn, largely consisting of green bonds, but we have seen a pickup in sustainability-linked bond (SLB) issuance with Chile (1.3%).
  • Supranationals: YTD GSS issuance of $73bn, led by sustainable bonds (63%) followed by green (26%), with social issuance lagging (10%).
  • Agencies / Local Authorities: YTD GSS issuance of $90bn, led by social bonds (48%) followed by green (37%) with sustainable issuance lagging (15%).

SSA Sector Developments

Investor Developments

Government and Regulatory Developments

ESG and Credit Rating Agencies Developments

  • MSCI recently launched the MSCI Sustainability Institute which aims to drive progress on the role of capital markets in creating sustainable value and tackling global challenges such as climate change. The institute has a range of offerings, such as equipping academic researchers and policymakers with sustainability data, metrics and models that investors use to inform their decision-making.
  • Sustainable Fitch has launched its ESG Ratings product for investors. The offering provides granular and transparent ESG ratings and sub-scores at an entity, framework and instrument level.
  • S&P launched its updated Second Party Opinions (SPOs), featuring Shades of Green. The integrated analysis produces four analytical outputs: alignment assessment, shade of green, issuer sustainability context and EU Taxonomy assessment.

Find out more

If you would like to discuss any of the above further, please reach out to our authors:


*For further analysis and information on the Primary and Secondary Markets, as well as detail of the latest SSA GSS/S private placements, take a look at the full monthly newsletter on Market Insights. If you do not have access to Market Insights, please contact us here. Also, for any unfamiliar terms used within this article please refer to our insights glossary.

This article has been prepared for information purposes only, does not constitute an analysis of all potentially material issues and is subject to change at any time without prior notice. NatWest Markets does not undertake to update you of such changes. It is indicative only and is not binding. Other than as indicated, this article has been prepared on the basis of publicly available information believed to be reliable but no representation, warranty, undertaking or assurance of any kind, express or implied, is made as to the adequacy, accuracy, completeness or reasonableness of the information contained in this article, nor does NatWest Markets accept any obligation to any recipient to update or correct any information contained herein. Views expressed herein are not intended to be and should not be viewed as advice or as a personal recommendation. The views expressed herein may not be objective or independent of the interests of the authors or other NatWest Markets trading desks, who may be active participants in the markets, investments or strategies referred to in this article. NatWest Markets will not act and has not acted as your legal, tax, regulatory, accounting or investment adviser; nor does NatWest Markets owe any fiduciary duties to you in connection with this, and/or any related transaction and no reliance may be placed on NatWest Markets for investment advice or recommendations of any sort. You should make your own independent evaluation of the relevance and adequacy of the information contained in this article and any issues that are of concern to you.

This article does not constitute an offer to buy or sell, or a solicitation of an offer to buy or sell any investment, nor does it constitute an offer to provide any products or services that are capable of acceptance to form a contract. NatWest Markets and each of its respective affiliates accepts no liability whatsoever for any direct, indirect or consequential losses (in contract, tort or otherwise) arising from the use of this material or reliance on the information contained herein. However this shall not restrict, exclude or limit any duty or liability to any person under any applicable laws or regulations of any jurisdiction which may not be lawfully disclaimed.

NatWest Markets Plc. Incorporated and registered in Scotland No. 90312 with limited liability. Registered Office: 36 St Andrew Square, Edinburgh EH2 2YB. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority. NatWest Markets N.V. is incorporated with limited liability in The Netherlands, authorised and supervised by De Nederlandsche Bank, the European Central Bank and the Autoriteit Financiële Markten. It has its seat at Amsterdam, The Netherlands, and is registered in the Commercial Register under number 33002587. Registered Office: Claude Debussylaan 94, Amsterdam, The Netherlands. NatWest Markets Plc is, in certain jurisdictions, an authorised agent of NatWest Markets N.V. and NatWest Markets N.V. is, in certain jurisdictions, an authorised agent of NatWest Markets Plc. NatWest Markets Securities Japan Limited [Kanto Financial Bureau (Kin-sho) No. 202] is authorised and regulated by the Japan Financial Services Agency. Securities business in the United States is conducted through NatWest Markets Securities Inc., a FINRA registered broker-dealer (http://www.finra.org), a SIPC member (www.sipc.org) and a wholly owned indirect subsidiary of NatWest Markets Plc.

Copyright © NatWest Markets Plc. All rights reserved.

scroll to top