ADB Issues First Blue Bond for Ocean Investments.
ENPNewswire-September 13, 2021--ADB Issues First Blue Bond for Ocean Investments
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Release date- 10092021 - ADB Issues First Blue Bond for Ocean Investments.
[Innovative financial products like blue bonds diversify and expand the investor base, thereby increasing the amount of capital that can be invested in ocean health.]
Innovative financial products like blue bonds diversify and expand the investor base, thereby increasing the amount of capital that can be invested in ocean health.
The Asian Development Bank (ADB) today issued its first ever dual-tranche blue bonds denominated in Australian and New Zealand dollars that will finance ocean-related projects in Asia and the Pacific.
The A$208 million (around $151 million) 15-year issue was purchased by The Dai-chi Life Insurance Company and arranged by Citigroup Global Markets Limited. The NZ$217 million (around $151 million) 10-year issue was purchased by Meiji Yasuda Life Insurance Company and arranged by Credit Agricole CIB. The bonds were issued under ADB's expanded Green and Blue Bond Framework.
'Having our first Australian dollar 15-year and New Zealand dollar 10-year blue bonds under ADB's Green and Blue Bond Framework is a new milestone for sustainable ocean finance. The tenor reflects the needs and our long-term support for the sector,' said ADB Vice-President for Finance and Risk Management Ingrid van Wees. 'With our framework, we set a new standard for blue financing in the market that can be replicated.'
The bonds are part of ADB's Action Plan for Healthy Oceans and Sustainable Blue Economies launched in 2019, which aims to catalyze sustainable investments in Asia and the Pacific by committing to invest and provide technical assistance of at least $5 billion by 2024.
'The Action Plan for Healthy Oceans and Sustainable Blue Economies is a vital part of ADB's strategy to expand the necessary support for its developing member countries (DMCs) to invest in healthy oceans, ensure the achievement of SDG 14, and contribute to the security and prosperity of the region,' said ADB Vice-President for Knowledge Management and Sustainable Development Bambang Susantono. Sustainable Development Goal (SDG) 14 addresses 'life below water' and is one of 17 SDGs established by the United Nations in 2015.
The funding gap to support healthy oceans is getting wider every year and the scale of the problem requires a leap from small transactions to...
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