October 18 (Renewables Now) - The International Finance Corp (IFC) on Tuesday issued a USD-1-billion (EUR 850m) green bond, bringing its green bond issuance so far to USD 7.25 billion.
Funds raised by IFC’s green bonds go towards investments in renewable energy, energy efficiency and other areas that reduce greenhouse emissions.
IFC, a member of the World Bank Group, said investor demand for climate-smart finance is surging as shown by the 2.6 time oversubscription of its latest offering. The five-year bond is the third USD-1-billion global benchmark green bond IFC has issued over the past seven years.
There was significant demand from investors with a focus on socially responsible investments, with buyers including Brown Advisory, Barclays, Calvert funds, Export Development Canada, Mirova and the California State Teachers’ Retirement System (CalSTRS) among others.
"Crowding in mainstream investors—as IFC has done today—is critical for us to accelerate the development of the green bond market," said IFC Vice President and Treasurer Jingdong Hua.
The bond matures on October 24, 2022.
(USD 1 = EUR 0.850)