AAIB, IFC, EBRD, BII issue $500mln sustainability bond to support climate finance, MSMEs
Summary
Arab African International Bank (AAIB) has issued a $500 million sustainability bond, with investments from the International Finance Corporation (IFC), the European Bank for Reconstruction and Development (EBRD), and British International Investment (BII), as per an emailed press release.Marking the first in Egypt and the largest issued by a private bank in Africa, the bond aims to advance Egypts green transition and micro, small, and medium-sized enterprises (MSMEs) by backing green and sustainable projects.The sustainability bond has been subscribed with $300 million by IFC, alongside $100 million from EBRD and $100 million from BII.About 75% of the bonds proceeds are allocated to green financing, including industrial energy-efficiency, small-scale renewable energy projects, and green buildings, with 25% allocated for social assets including inclusive finance and MSMEs.This investment is a milestone in extending more financial inclusion, while unlocking the potential of sustainable finance in Egypt," S\xe9rgio Pimenta, IFCs Vice President for Africa, said.As the largest investor in the countrys first sustainability bond issued by AAIB, we are empowering a greener, more climate-resilient future for Egypt and contributing to the countrys climate commitments, Pimenta noted.\xa9 2020-2023 Arab Finance For Information Technology. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info).