FinTech-Enabled Evolution of Green Bonds in India: Innovation, Regulation, and Future Directions

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FinTech-Enabled Evolution of Green Bonds in India: Innovation, Regulation, and Future Directions

ABSTRACT: – The convergence of Financial Technology (FinTech) and green bonds is redefining sustainable finance by enabling transparency, enhancing access, and improving environmental impact measurement. This study explores how technologies such as blockchain, artificial intelligence, and mobile investment platforms are transforming the issuance, monitoring, and distribution of green bonds, particularly in the Indian context. Using a systematic literature review and content analysis, the paper evaluates India’s policy initiatives, regulatory frameworks, and FinTech-driven innovations including sovereign green bonds, SEBI disclosures, and retail investor participation via digital platforms. The findings highlight FinTech’s capacity to mitigate key challenges in green finance such as greenwashing, illiquidity, and fragmented standards. While India’s digital ecosystem offers a strong foundation, barriers like inconsistent ESG data and limited rural access persist. The study concludes with practical implications for policymakers and regulators, and calls for a harmonized green taxonomy and inclusive digital infrastructure. Ultimately, FinTech is not just enhancing green bond markets, it is shaping a more transparent, democratic, and scalable path to climate-aligned capital mobilization.

Keywords: Green Bonds, FinTech, ESG, Blockchain, India, Sustainable Finance

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