The European Bank for Reconstruction and Development has released its first green bond, with funds raised being used to finance environmental sustainability projects. This follows similar bonds issuance by the World Bank, the International Finance Corporation, the European Investment Bank and the Asian Development Bank.
Like most of the retail green bonds before it, the issue is largely targeted at the Japanese retail market. The bond is denominated in Australian dollars - Japanese interest rates are so low that investors looking overseas go for the higher yielding bonds, and seem less worried about currency risk (FYI, these foreign currency, higher interest bonds for Japanese investors are called "Uridashi bonds"). It's a small issue - AUS$25 million; it pays 4.80% and lead manager is Deutsche Bank.