This paper reviews the evolution of ESG bonds in India, focusing on SEBI’s 2025 ESG Debt Securities framework and Larsen & Toubro’s (L&T) landmark issuance. It contextualizes India’s developments against European benchmarks such as the EU Taxonomy, CSRD/ESRS, and ESMA oversight of ESG ratings. The study consolidates interim findings, evaluates market reception, and provides a comparative analysis to highlight implications for corporate issuers and investors