On 20th October, European Union (EU) sold EUR17bn worth of social bonds, the largest such labeled transaction so far. The deal comprised of a EUR10bn 10-year, and a EUR7bn 20-year offering aligned with the ICMA Social Bond Principles (SBP). The pair of bonds were issued under the Support to mitigate Unemployment Risks in an Emergency (SURE) programme first proposed by the EU in April 2020.
In his first parliamentary address last Monday as the new Japanese Prime Minister, Yoshihide Suga committed the country to a target of net-zero emissions by 2050.
Suga commented that “Responding to climate change is no longer a constraint on economic growth”. Absolutely right.
He added that “taking assertive measures against climate change will lead to changes in industrial structure and the economy that will bring about growth”. I.e. going green will mean economic growth.
Central Arkansas Water (CAW) is due to post a US$30.6 million green bond on Oct 19th. Certified under the Climate Bonds Water Infrastructure Criteria – the new bond is the first of its kind to acquire and protect forests specifically to secure clean drinking water.
A transition to a low carbon economy is only possible with a vast scale up in the production and use of green hydrogen. This was one of the strongest messages arising from the recent Climate Bonds Green Transition conference.
In a statement released in Hanoi today the Asian Development Bank (ADB) and Phu Yen TTP Joint Stock Company (Phu Yen JSC) announced the signing of a USD 186 million loan for the development and operation of a 257 MW solar power plant in Hoa Hoi, Phu Yen Province, Viet Nam, representing the country’s first Climate Bonds Certified green loan.
Welcome to the Markets Monthly #8!
The San Francisco Public Utilities Commission (SFPUC) has posted details of its newest bond offerings, including a USD342m (preliminary amount, subject to change) green municipal bond (2020 Sub-Series E Bonds), part of its Water System Improvement Program (WSIP). The bonds will be offered taxable (generally US muni bonds are tax exempt).
