Global sustainable debt issuance is on course to return to growth in 2026, with ING Research projecting US$1.621tn in new issuance as AI data centre expansion, clean energy investment and electricity infrastructure upgrades converge. The bank says this combination will help push sustainable finance beyond 2025 levels despite geopolitical tensions, shifting policy priorities and uneven regional performance.
AI infrastructure fuels sustainable debt
The rapid expansion of AI infrastructure is one of the strongest drivers of sustainable finance this year, according to ING Research. Operators building AI-powered data centres are turning to sustainable debt to finance facilities while responding to growing scrutiny of their environmental performance.
Electricity networks and digital infrastructure required to support AI development and wider electrification are generating new financing opportunities. ING expects these trends to contribute to global sustainable debt issuance reaching US$1.621tn during 2026, supported by continued corporate decarbonisation commitments and government investment in clean infrastructure.
Energy security strengthens investment
ING Research also highlights energy security as an increasingly important catalyst for sustainable finance. Ongoing geopolitical tensions in the Middle East have reinforced the need for greater energy independence, affordability and industrial competitiveness, especially across Europe.
As a result, investment in clean energy generation and supporting infrastructure is expected to remain a major destination for sustainable debt. ING believes these projects will strengthen energy resilience and provide the electricity capacity needed to support growing AI workloads and energy-intensive digital infrastructure.
Data centre scrutiny intensifies
While AI data centres continue to attract investment, sustainability expectations surrounding the sector are becoming more demanding. In the US, data centres, renewable energy and associated infrastructure have become the primary engines of sustainable financing despite wider policy uncertainty.
Growing attention on the environmental and community impacts of large-scale data centre developments is expected to result in more selective sustainable debt issuance. Rather than slowing investment, ING suggests this scrutiny is likely to improve the quality and credibility of financing across the sector. The report also points to increasing regulatory attention, with the European Union introducing energy reporting requirements and green financing rules for data centres while developing efficiency standards and performance labels.
"Future competitive advantage will undoubtedly be fuelled by AI and AI, in turn, is fuelled by data centres," writes Wim Steenbakkers, Managing Director at ING Global Lead Satellite & Technology. "We need to lose the idea that data centres are just these ugly, energy-guzzling boxes that spoil the landscape and pollute the environment. That image merely rouses public indignation but misses the key point. First and foremost, data centres form the core of the future-proof digital economy that we need if we're to sustain our prosperity and well-being."
Green bonds lead the market
ING Research expects green bonds and green loans to remain the dominant sustainable finance products throughout 2026, together accounting for around 60% of global sustainable debt issuance. Although issuance from non-financial corporates has softened, demand for sustainable financing will remain significant as organisations continue investing in AI data centres, digitalisation, innovation and critical infrastructure. Public sector issuers are expected to drive much of the market's growth during the remainder of the year.
Why this matters for finance professionals
For finance professionals, the report signals that sustainable debt is becoming a core funding mechanism for AI infrastructure, not a niche ESG product. Deals will increasingly require financing structures that address both energy efficiency and decarbonisation. Watch for more selective issuance as scrutiny of data centre environmental and community impacts grows, and for opportunities tied to the electricity networks that support AI workloads.
Professionals who understand both AI infrastructure and sustainable finance will be better positioned as these markets converge. AI for Finance and AI for Sustainability Analysts training can help build that foundation.
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