Abstract
The records on sustainable finance issuance in the global financial market have soared in the last decade. With the COVID-19 economic recession still unraveling, there is a heightened interest in sustainable finance for green economic recovery in all sectors. The construction sector (particularly the public-private partnership (PPP) market) is not exempted, as the projects in this sector need huge sustainable capital to complete ongoing projects that were nearly abandoned during the pandemic while meeting climate resilience and low-carbon project targets. Thus, in this chapter, the various sustainable finance for PPP projects have been presented together with the driving factors, challenges, and conceptual framework. This chapter is useful for PPP practitioners in understanding suitable green finance instruments for PPP projects. Policymakers and researchers will gain insights into investigating prominent challenges and provide solutions and policies in transitioning into more sustainable practices and funding in the PPP industry.