Typhoon Risk, Green Bond Resilience and Credit Spread Pricing: Empirical Evidence from the Green Bond Market in China

DOI

10.2991/978-94-6239-801-6_89How to use a DOI?

Keywords

Typhoon impact; Physical climate risk; Green bonds; Credit spread; Green resilience

Abstract

In response to the insufficient consideration of physical climate risks, such as typhoons, in most current green bond risk-assessment systems, this paper takes typhoons as an example and uses GIS-based spatial analysis to quantify the typhoon exposure of project locations and examine its impact on green bond credit spreads. Using green bond issuance data from southeastern coastal China, this paper further constructs a provincial typhoon-risk index based on typhoon frequency and wind-force intensity. The results show that, after controlling for bond maturity, issuer rating, the debt-to-asset ratio, and regional GDP growth, the typhoon risk index does not significantly increase credit spreads. The current sample does not support the hypothesis that “typhoon risk significantly increases green bond credit spreads.” Green bond pricing may be jointly shaped by physical risk exposure and resilience mechanisms such as preference for green assets, policy support, and project adaptation capacity. This finding suggests that green bonds may show certain resilience under acute physical climate risks.

Copyright

© 2026 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Zhongmou Sun
PY  - 2026
DA  - 2026/10/23
TI  - Typhoon Risk, Green Bond Resilience and Credit Spread Pricing: Empirical Evidence from the Green Bond Market in China
BT  - Proceedings of the 2026 2nd International Conference on Financial Innovation and Marketing Management (FIMM 2026)
PB  - Atlantis Press
SP  - 852
EP  - 859
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6239-801-6_89
DO  - 10.2991/978-94-6239-801-6_89
ID  - Sun2026
ER  -