Research On The Method And Function Of Third Party Certification In Green Bond Issuance

The development of Chinese green bond market is mainly driven by the top-level policies.The intensive issuance of policies in 2015 directly led to the outbreak of the green bond market in 2016.By 2019,Chinese green bond market has begun to take shape.The main issuers are banks and high-ranking state-owned enterprises.The most significant feature of green bond is that the raised funds of green bond should be invested in green industry,which is different from common bond.The green certification of raised investment projects has become the core of green bond issuance.Therefore,the third-party certification is very important in the supervision of green bond issuance and existence,which can improve the transparency of green bond,reduce environmental risks,and improve the issuer,investors and regulators It is extremely advantageous to construct all three parties.At present,the regulatory authorities are encouraging the third-party certification of green bonds,and have formulated corresponding assessment and certification guidelines.Domestic green assessment and certification institutions are springing up,which are divided by credit rating agencies,accounting firms and consulting and certification institutions.The working methods and procedures of third-party certification are also maturing.Through the empirical analysis of the credit spread of green bonds,this paper finds that the third-party certification can significantly reduce the issuance cost of green bonds;especially for issuers with low rating and issuers who choose public issuance,the third-party certification is not only conducive to passing the audit,but also can attract investors and save financial expenses.The empirical results also pass the robustness test and have high reliability.In addition,this paper also selects the credit of China Bond Rating Corporation which has done a good job in the evaluation and certification,and takes the evaluation and certification of "19 Capital Airport GN001" as a case study.The case study found that due diligence,calculation of environmental benefits on the basis ofcertain assumptions and quantitative scoring of each assessment element can significantly improve the quality of assessment and certification work,and the above experience is worth promoting by the regulatory authorities.Finally,based on the conclusion,this paper proposes to improve the quality of the third-party certification work and promote the healthy development of the green bond market through strict supervision,behavior guidance and demonstration awards.