A bond whose proceeds are used only to finance or refinance a combination of both environmental and social projects is called :

• Under the International Capital Market Association principles, bonds are labelled by the use of their proceeds.

• A green bond finances only environmental projects (renewables, clean transport, pollution control); a social bond finances only social projects (affordable housing, health, education, employment).

• A sustainability bond finances a combination of both environmental and social projects, which is exactly the definition in the question — option (c).

• A sovereign bond is defined by its issuer (a national government), not by the use of proceeds; India issued its first sovereign green bonds in 2023.

• Sustainability-linked bonds are different again: their coupon varies with the issuer meeting ESG targets, with no restriction on use of proceeds.