This study investigates the impact of government green awareness on the financing cost of green bonds. The empirical results show that higher levels of government green awareness are associated with lower financing costs of green bonds, suggesting that policy orientation toward environmental goals plays a significant role in shaping market perceptions and reducing risk premiums. Further analysis identifies government environmental infrastructure investment as a key transmission channel through which green awareness influences financing costs. The heterogeneity analysis shows this effect is more pronounced in the provinces with higher ventilation coefficient, higher renewable energy development, and middle region of China. We also employ proportion of thermal power generation and coal consumption as instrumental variables to address potential endogeneity concerns. These findings confirm and highlight the importance of consistent and credible environmental signals from the government sector in promoting the efficiency of green financial markets.