Sustainability Strategy We advise companies to develop smart sustainability strategies that firmly align with their business strategy - strategies that create and protect long-term value. Green finance is the financing of investments that provide environmental benefits in the broader context of environmentally sustainable development. Membership. Sustainable Financing Opinions - S&P Global REN21: Energy Regulation and Policies for Renewables. UNFCCC COP 21 NDC Submission. July 22, 2021. Determining eligibility: Categories identified in frameworks, such as the green bond principles and sustainability-linked bond principles developed by the International Capital Market Association, provide recommendations for issuers to align with the leading framework globally for the issuance of sustainable bonds. The report showcases successful sustainability bonds issued in the region, including those supported by the ADB-managed Association of Southeast Asian Nations (ASEAN) Catalytic Green Finance Facility (ACGF) . With its Green Finance Framework, Xylem may issue green financing instruments and use the proceeds to finance and refinance eligible green projects that contribute to the sustainable use and protection of water and marine resources, as well as efforts related to climate change mitigation and climate change adaptation. Green Growth: National Strategy and the Five-Year Plan. green bond database and figures. In the US, our approach to . Framework Act on Low Carbon Green Growth. The framework would allow variations in fund structure among countries and issuers of the accelerator bond or other SDG bonds. First in the industry sustainability bond provides opportunities to invest in projects supporting environmental sustainability and health of vulnerable populations Supports United Nations Sustainable Development Goals (SDGs) Pfizer Inc. (NYSE: PFE) today announced the completion of a $1.25 billion ten-year "sustainability" bond paying interest semi-annually of 2.625 percent and maturing . Investor Relations. Use of Proceeds With reference to the Green Bond Principles, the proceeds of each Green Bond or Green Green, social and sustainability bonds are an ideal way for businesses to tap into the huge $100 trillion pool of patient private capital managed by global institutional fixed-income investors. The net proceeds gained from the issuance will be used to finance or refinance various eligible sustainability projects in Luxembourg which come under the sustainability framework established by the Grand Duchy of Luxembourg, as well as those in accordance with the International Capital Market Association's principles for green bonds, social . London Stock Exchange today welcomes the Republic of Korea issuing their €700mn -0.053% note due October 2026 to London Stock Exchange's International Securities Market. September 23, 2019. Explore how the financial sector can serve the long-term needs of an inclusive, environmentally sustainable economy. Members shall be organizations that have issued, underwritten or placed, or invested in a Green Bond, a Social Bond, a . Amid the COVID-19 pandemic, sovereign green-bond issuers have kept the issuance momentum in 2020 with several re-openings and a few inaugural issuances including Germany and Sweden. The so-called Formosa bond, dual-listed on the Taipei Exchange and the London Stock Exchange and maturing in 2053, is the first sustainable bond to be listed publicly on the Taipei Exchange by a sovereign. This Q&A with Saida Eggerstedt, head of . An independent review of the selection criteria for the projects financed by green bonds and of the actual allocation of funds, provided by a so-called "second party opinion", reassures investors that the green bond will meet their requirements. The corporate bond market in the Republic of Korea is the second largest in ASEAN+3 after that of the People's Republic of China. The framework allows for green bonds up to around SEK 30bn and includes a transparent and clear outline of the various expenditures and appropriations. Address by President Moon Jae-in at United Nations Climate Action Summit. In 2020, we have also set a first-time target to . German green bonds: A game-changer for transparency. Korea's bond makes it the third Asian sovereign to . The training also included different dimensions of sustainable development within the context of a Green Economy. Dr. Kim Min-chul is a senior researcher at the Green Technology Center, a government-funded research institute in the Republic of Korea. We can also help you develop a Green Loan Framework or Green Bond Framework. Updating the framework should occur whenever there . This is a landmark event for the development of a sustainable finance (including green finance) market in Russia. The Republic of Chile intends to invest the net proceeds into projects that may qualify as "eligible green expenditures" and "eligible social expenditures" under its Sustainable Bond Framework. The first green bonds within this framework were issued in November 2019 by Centre-Invest Bank to finance loans for renewable energy and green sources projects. This assessment is based on the following: USE OF PROCEEDS. 9 Asian Green, Social, and Sustainability Bond Issuance in United States Dollar Equivalent 24 by Year and Issuer Classification 10 Global Outstanding Green, Social, and Sustainability Bonds by Issuer . Having lagged behind Europe and the US in the early days of the green bond market . The 2020 Impact Report is focused on IBRD Sustainable Development Bonds and Green Bonds, and the IBRD-financed projects supported by these bonds. for DNV Business Assurance Korea Ltd. Seoul, Republic of Korea / 13 April . . The recent announcement by the Monetary Authority of Singapore (MAS) on the new grant scheme for green and sustainability-linked loans has presented significant opportunities for organisations to transition to more sustainable practices, in addition to furthering promoting the development of the country as the leading centre for green finance . The bonds of € 500 million each have maturities of four and 15 years and coupons of 0.00% and 0.625%, respectively. Newsletters. For instance, Korea Railroad Corporation issued a EUR110m (USD127m) senior unsecured sustainability bond in October 2018. 2009 Government launches Republic of Korea's Green Growth Strategy and provides a strategic policy framework. Green bonds enjoyed a 49% growth rate in the five years before 2021, according to Climate Bonds, whose analysis suggests the green bond market annual issuance could exceed the $1 trillion mark by 2023. Globally, the country accounts for about 0.3% of greenhouse gas emissions. Share. According to data from HSBC, social bonds accounted for 5 per cent of total Asia Pacific issuance of Green, Social and Sustainability (GSS) bonds in the whole of 2019, but this had risen to 41 per cent by April 2020 because of the market's response to Covid-19. SEOUL, South Korea, May 21, 2021 /PRNewswire/ -- The Republic of Korea will host the 2021 P4G (Partnering for Green Growth and the Global Goals 2030) Seoul Summit from May 30 to 31 to urge . The principles are designed to be industry wide, thus Green, Social and Sustainability Bond issuers or Sustainability-Linked Bond issuers and investors as well as banks are invited to apply for membership. NTU's Sustainability Framework includes plans to achieve 100% Green Mark Platinum certification for all eligible buildings on the main campus and to halve NTU's waste and net energy and water use by March 2026, compared to baseline levels in 2011. Green issuance and investment have been propelled by the 2015 Paris Climate Agreement and the impetus it created to finance a wide range of initiatives to limit global warming. This was the first green and sustainability bond ever issue6 billd by a sovereign. The deal was more than 6 times oversubscribed, receiving bids in excess of €4.2bn from over 150 accounts. At the start of the week, the German government gave details of its first green bond issuance, scheduled for September. The net proceeds of the issue will be used to finance or refinance eligible sustainable projects in the Grand Duchy of Luxembourg, falling within the sustainability bond framework established by the Grand Duchy of Luxembourg, in accordance with the ICMA principles for Green Bonds, Social Bonds and Sustainability Bonds and complying with the . 2. The Asian Bond Markets Initiative (ABMI) was launched in December 2002 by the Association of Southeast Asian Nations (ASEAN) and the People's Republic of China, Japan, and the Republic of Korea—collectively known as ASEAN+3 to strengthen financial stability and reduce the region's vulnerability to the sudden reversal of capital flows. On 24 January 2017, Agence France Trésor launched the first French sovereign green bond, the Green OAT 1.75% 25 June 2039 for an issuance amount of €7bn.By becoming the first country in the world to issue a sovereign green benchmark bond, France confirmed its role as a driving force for the implementation of the goals of the December 2015 Paris Climate Agreement. In December 2020, a new version of the Moscow Exchange Listing Rules came into force, which updated the requirements for the inclusion and maintenance of bonds in the Sustainable . She also spearheads broader Enterprise wide strategy and thought leadership around sustainable finance and ESG investment considerations. The Republic of Korea, in 2008, adopted The National Green Growth Development Strategy for 2008-2030 Source: In September 2008 the Ministry of Knowledge Economy released a medium- to long-term National Energy Basic Plan for the period 2008-2030. D degree in Environmental Economics from Seoul National University of Science and Technology (Republic of Korea). ASEAN+3 Bond Market Guide is a comprehensive explanation of the region's bond markets. ADB, which manages the ACGF, will prioritize the use of GCF funding . During the workshop, ministry participants learnt about Uzbekistan's SDG Bonds Framework, and how proceeds can be tracked, allocated, and managed in line with internationally-recognized standards. The bond was issued under NW Natural's new Sustainable Financing Framework. With this transaction, the Republic of Benin is the first West African sovereign to issue SDG-linked bonds. The university also outlined plans to establish a new sustainability office to coordinate and . South Korea has become the world's biggest source of so-called sustainability bonds this year as borrowers rush to sell notes that can fund projects to help the middle class and smaller firms in . Challenges. The Republic of Korea issued a dual-tranche $500 million green and sustainability bonds as part of its Foreign Exchange Stabilisation Bonds. Lima, July 16, 2021 -Peru's Ministry of Economy and Finance has officially approved the country's Sustainable Bond Framework (Ministerial Resolution N° 221-2021-EF/52) following the stringent standards of the International Capital Market Association (ICMA), which establishes principles and recommendations for the governing and issuance process in order to promote transparency and . o Slovenia'sSustainability Bond Framework follows best market practices: Fully aligned with the Green Bond Principles, Social Bond Principles and Sustainability Bond Guidelines (2021 edition) Project eligibility criteria are aligned, where applicable, to the EU Taxonomy o Second Party Opinion on the Sustainability Bonds Framework provided by Manju Seal is Head of Sustainable Finance, Advisory, BMO Capital Markets, leading efforts with corporate and institutional clients to incorporate environmental, social and governance (ESG) criteria into their investment considerations. World Bank Sustainable Development Bonds support the financing of a combination of green and social, i.e. For information on upcoming corporate events and company updates please register an account with us. and other global frameworks including the Sendai Framework for Disaster Risk Reduction, the Paris Agreement and the New Urban Agenda. Each project is designed intentionally to achieve both positive social and environmental impacts and outcomes in line with the World Bank Group's twin . The green bond market has grown substantially in recent years and there is already widespread use of proprietary green bond frameworks. Issuers from Japan and the Republic of Korea Dominate 33 ICMA-Compliant Social Bonds Are Rare in the People's Republic of China 35 . Sustainability Management Framework meets the criteria established in the Protocol and is aligned with the four core components of the GBP and SBP. "The program will also help countries scale up issuances of green and climate bonds to support sustainable growth in developing Southeast Asia." The Green Climate Fund (GCF), a global fund based in the Republic of Korea, has allocated $300 million to support the program. Additional Resources for Republic of Korea: UNEPLive. The growth of green bonds. Republic of Korea Country Website; . MCR2030 aims to ensure cities become inclusive, safe, resilient and sustainable by 2030, contributing directly to the achievement of Sustainable Development Goal 11 (SDG11) "Make cities and human settlements inclusive, safe, resilient and sustainable", and other global frameworks including the Sendai Framework for Disaster Risk Reduction . 1. Opinions of this kind assist issuers who are actively seeking to place . An independent review of the selection criteria for the projects financed by green bonds and of the actual allocation of funds, provided by a so-called "second party opinion", reassures investors that the green bond will meet their requirements. Documentation for the Green Bond 2021: Please confirm your location: Afghanistan Aland Islands Albania Algeria American Samoa Andorra Angola Anguilla Antarctica Antigua and Barbuda Argentina Armenia Aruba Australia Austria Azerbaijan Bahamas Bahrain Bajo Nuevo Bank Baker Island Bangladesh Barbados Belarus Belgium Belize Benin Bermuda Bermudes . we have applied a standardised framework, which helps us to identify and to analyse our SDGs-aligned investments. Select Country. To date, the Republic of Chile has invested approximately USD 14.4 billion in thematic bonds, 54% green, 36% social, and 10% sustainable. She is a postdoctoral researcher at Green Technology Center (GTC). This is the first ever Euro denominated green bond or climate bond to be issued by an Asian sovereign. The success of green bonds has inspired the creation of other labelled bonds, such as social bonds. (Unofficial translation) Honorable Secretary-General and representatives from member states, In the lead up to the implementation of the Paris Agreement in 2020, it is very meaningful that we have come together to find ways to put it into . The Philippines is finalizing its sustainable finance framework ahead of issuing its debut green bonds, according to a . It is used by external reviewers and index providers, as well as a wide range of market participants. Sustainability Bond/Sustainability Bond Programme External Review Form for detailed information. BMO Financial Group has issued C$500 million in green bonds to Bruce Power, a Tiverton, Ontario-based nuclear power facility. A progressive step towards our sustainable future. An independent "second party opinion" was issued by "Sustainalytics Ltd." (UK), stating that Uzbekistan's SDG Bond Framework is credible and impactful and aligns with the Sustainability Bond Guidelines 2021, Green Bond Principles 2021, and Social Bond Principles 2021. He received his Ph. We increased our target for our green, social and sustainability bond mandate to USD 4 billion, to be achieved by the end of 2024. Sustainalytics is of the opinion that the Green and Sustainability ("G&S") Bond Framework of the Republic of Korea ("ROK") is credible and impactful, and aligns with the Green Bond Principles (GBP), Social Bond Principles (SBP) and Sustainability Bond Guidelines (SBG) 2018. rating scheme and the Building Research Establishment Environmental Assessment Method (BREEAM) certification framework, respectively. In early 2021 Italy entered the market of sovereign bonds that finance sustainable development through the issuance of the new "BTP Green", widening the country's commitment to the European Commission's framework for achieving climate neutrality by 2050 and the goals set out in the European Green Deal.The first Italian Sovereign Green Bond will finance Italy's Green Transition . CACIB acted as co-structuring advisor and as joint bookrunner in the inaugural transaction. ASEAN+3 Bond Market Guide 2018: Republic of Korea. Cleary Gottlieb represented the Republic of Benin in the €500 million international offering of a landmark bond linked to the United Nations' sustainable development goals (SDGs). World Bank bonds are aligned with the Sustainability Bond Guidelines published by the International Capital Market Association and as such support the financing of a combination of green and social, i.e., "sustainable development" projects, programs and activities in IBRD member countries as described in the World Bank Sustainable . NW Natural successfully placed its first $130 million sustainable bond on November 15, 2021. Contact. Total issuance of sustainable debt has surpassed $1 trillion and is on a firm upward trajectory. Relevant Green Growth Policies. The Asian Infrastructure Investment Bank (AIIB) has approved USD60 million as a commitment to the STIC Asia Infrastructure Innovation Fund.The Fund will predominantly invest in small and medium-sized companies across digital infrastructure and green energy infrastructure sectors in South Asia, Southeast Asia and the Republic of Korea. . Ban Ki-moon, President and Chair, GGGI, underlined that to achieve sustainable and inclusive development and resilience for all countries, three elements are required: achieving net zero emissions by 2050; catalyzing access to green finance; and increasing the green share of ODA. With 189 member countries, staff from more than 170 countries, and offices in over 130 locations, the World Bank Group is a unique global partnership: five institutions working for sustainable solutions that reduce poverty and build shared prosperity in developing countries. The Luxembourg Sustainable Finance roadmap: drafted in partnership with UNEP, it establishes a comprehensive sustainable finance strategy, notably leveraging Luxembourg's inherent strengths as an international financial centre, to contribute to the Agenda 2020 and the objectives of the Paris Agreement. The Republic of Korea issued a dual-tranche dollar bond on Wednesday, with the shorter dated portion carrying a green and sustainability label. The Green Bond Framework, the first sovereign framework to receive a dark green shade from Cicero, is robust and supports Sweden's objective to publish the greenest sovereign green bond framework. Sovereign Green, Social & Sustainability Bonds Survey is released, reporting on the experience of the sovereign issuance . Second Party Opinion. Send a clear sustainable signal to the market. Sixteen sovereigns have now issued green bonds to finance green projects in governments' budgets, exceeding USD 80 billion. The Republic of Indonesia (ROI) has developed a Green Bond and Green Sukuk Framework (the "Framework") under which it plans to finance and or re-finance Eligible Green Projects via the issuance of Green Bonds and Green Sukuk. 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