Last winter we noted the rise of the corporate green bond; this seems to be the winter of the green muni (municipal) bond. The past few weeks have seen three green munis totalling $328m, from across United States. The bonds have quite a bit in common; all from first-time green bond issuers; and all use proceeds for water projects.
The National Australia Bank (NAB), one of the four big banks in Australia, has closed Australia’s first climate bond certified under the Climate Bonds Standard. The A$300m bond has tenor of 7 years, coupon of 4% and is rated AA- (S&P) / Aa2 (Moody’s).