Investors and NGOs often clash, but now both are trying to hold the EU to account over its pledge to set the “gold standard" for environmentally friendly bond issuances. The record-breaking debut bond sale earlier this week has already found its fair share of critics worried that the proceeds might not all be funneled into truly green projects. The concern stems from the fact that the EU's green bond standard still has to be signed off by parliament and member states, and, until it is, the bloc's own issuance will have to mainly rely on existing rulebooks. For its part, the EU stresses that funds will not go to gas and nuclear projects — areas that are still under debate for inclusion in the list of economic activities that can be classified as in line with the bloc's plan to be carbon neutral by the middle of the century. With other countries now also publishing their green codes, the challenge for the EU is to hold onto its crown of having the strongest.

-Lyubov Pronina and  John Ainger

What’s Happening
Iran Accord | EU and Iranian diplomats will continue their talks aimed at resurrecting the 2015 nuclear deal in the coming days, after EU envoy Enrique Mora’s meeting with Iranian officials yesterday ended without setting a timeline to resume negotiations with the U.S. Iran’s negotiator said Tehran has “serious doubts” about Washington’s willingness to return to the deal.

China Reset | China’s Xi Jinping and European Council chief Charles Michel are scheduled to hold a call today, the first one in months as Beijing and Brussels look to mend damaged ties. Relations soured after the sides slapped sanctions on each other over human rights issues in China’s western Xinjiang region and Europe suspended ratification of an investment agreement.

Data Flows | EU Justice Commissioner Didier Reynders arrived in the U.S. this week and, after a first meeting with FTC Chair Lina Khan yesterday, he'll be seeing Commerce Secretary Gina Raimondo today. Negotiations between the two are key to finding an alternative transatlantic data-transfer mechanism after the EU's top court last year struck down the so-called Privacy Shield, used by thousands of companies. 

COP Countdown | With little over two weeks to go until crucial climate talks in Glasgow, a key issue has yet to be solved: rich countries providing $100 billion in finance annually to help their poorer peers go green and cope with climate change. Here's why failure to reach that goal could upset hopes for a deal.

Italian Flagship | Italy’s new flagship airline takes to the skies today with the travel industry still reeling from the coronavirus crisis and low-cost rivals targeting its home market in a bid to lure away passengers. Italia Trasporto Aereo faces testing times as it replaces fallen national icon Alitalia, which ended flights yesterday after decades of losses and numerous brushes with bankruptcy.

In Case You Missed It
Catching Up | EU’s top antitrust official Olivier Guersent warned that enforcers must move faster to tackle big tech’s bad behavior. Guersent said regulators must wield “the right types of remedy” in order change to company behavior, warning that business pledges or splitting off units are ineffective. The comments follow stinging criticisms of the pace and effectiveness of the EU’s probes into Google.

Digital Tax | European countries have agreed with the U.S. on how to withdraw national digital service taxes when a global deal comes into effect, French Finance Minister Bruno Le Maire said. This clears the path to a new global tax regime and avoids damaging trade spats.

Price Surge | ECB policy maker Klaas Knot stepped up his warnings about inflationary risks in the euro area, saying prices could rise faster than expected because of supply disruptions and a pickup in wages. The Dutch governor, widely seen as one of the more hawkish members of the Governing Council, added that investors appear to be taking the possibility of higher inflation seriously.

Data Power | Europe’s data-center industry will use much more electricity by the end of this decade, accounting for about a quarter of total power consumption in Ireland alone, according to BloombergNEF. Power demand at the sites in the key markets of Germany, the Netherlands, U.K., Norway and Ireland should jump about 80% by 2030.

Swiss Guild | A Zurich guild founded in 1336 with a roster that includes members of the Swiss elite is considering whether to admit women. The Zunft zur Meisen, with a Baroque city palace in the heart of Switzerland’s banking hub, may decide at its annual meeting next year to allow women to attend its events as guests.

Chart of the Day

Germany’s leading research institutes slashed their joint 2021 growth forecast for Europe’s biggest economy as supply logjams delay the nation’s recovery into next year. The downgrade to a 2.4% expansion in gross domestic product, from 3.7% previously, reflects a relentless shortage of inputs, a lack of shipping capacity and — more recently — a spike in energy costs that is threatening rebounds across the globe. The outlook for 2022 was upgraded to 4.8% from 3.9%.

Today’s Agenda
All times CET.

• 9 a.m. Employment, Social Policy, Health and Consumer Affairs Council in Luxembourg
• Reynders meets with Raimondo and U.S. Attorney General Merrick Garland