The national bonds issued annually by the Chinese Ministry of Finance have reached a considerable size and on the whole, they remain a very popular form of transactions. Most of the bonds are for economic development, while some are for environmental management. In this regard, can the Ministry of Environmental Protection issue bonds? Our research results show that it can and this is known as the green bonds. China is now the largest green bond issuer in the world; under the excessive capital, the policies of guiding the resources flowing to green sectors will not only promote economic transformation, but will also stabilize the fluctuations caused by excess capital.