In the Union Budget for FY23, finance minister Nirmala Sitharaman announced that the government will issue green bonds. In November 2022, the framework for sovereign green bonds was released. The framework included investments in solar, wind, biomass, hydro energy projects, and urban mass transportation projects such as metro rail, green buildings, pollution prevention and control projects. However, projects such as fossil fuels, nuclear power generation, and direct waste incineration have been excluded. For FY23, the government had earmarked Rs 16,000 crore for green bonds.