IFC issues $184m green bond to support biodiversity projects

The International Finance Corporation (IFC), a member of the World Bank Group, has issued a five-year green bond worth 2 billion Swedish krona ($184 million) to fund biodiversity and ecosystem protection projects in emerging markets.

The bond, underwritten by Skandinaviska Enskilda Banken AB (SEB), provides investors with the opportunity to support IFC’s investments in environmental sustainability.

AP7, the sole investor in the bond, welcomed the focus on biodiversity, with Senior Portfolio Manager Ulrika Lindén highlighting its significance for preserving ecosystems.

Tom Ceusters, IFC’s Director for Treasury Capital Markets, emphasised the role of private capital in addressing biodiversity challenges while fostering economic growth.

The bond aligns with discussions at COP16 on unlocking private sector investment to achieve biodiversity goals. Proceeds will support initiatives like reforestation in Latin America and Colombia’s biodiversity bond aimed at regenerating natural forests.

Attribution: IFC

Subediting: M. S. Salama