WASHINGTON, September 19, 2019—IFC,
a member of the World Bank Group, today crossed the $10 billion threshold
in cumulative green bond issuance, after a trade with Japan’s Government
Pension Investment Fund, GPIF.
The issuance, arranged by HSBC Bank plc, increased IFC’s outstanding pound
sterling green bond line by 100 million pounds, amid increased interest
from Asian investors, notably asset managers at GPIF.
Proceeds will go to private sector projects in renewable energy and energy
efficiency, green buildings, green banking, solar and wind energy.
John Gandolfo, IFC VP and Treasurer said: “Today is a landmark for IFC
and sustainable finance as we break through the $10 billion mark for our
green bond issuance. We have been one of the earliest issuers of green
bonds, launching a green bond program in 2010 to help catalyze the market
and unlock capital from the private sector to fund climate-smart projects.”
Hiro Mizuno, Executive MD and CIO of GPIF said: “Congratulations on your
achieving this milestone of crossing $10 billion for green bond issuance.
IFC is a leading issuer of green bonds and a valuable partner for GPIF
to promote sustainable finance. We will continue to work together toward
a greener world.”
Thierry Roland, Head of Global Banking and Markets, Europe at HSBC said:
"Today's Sterling tap for IFC marks a very important milestone in
the sustainable financing market, taking the total green financing raised
by IFC to over $10 billion. IFC is one of the pioneers in sustainable financing,
and has long been an innovator in this market. HSBC is proud to have been
involved in this transaction, which also highlights our own commitment
In 2013, IFC issued the first $1 billion benchmark green bond followed
by another $1 billion green benchmark, helping transform the market. Before
2013, the public green bond market was mainly in private placement format
through smaller sized bonds and today, annual issuance for this year is
projected to reach over $200 billion.
Since 2010, IFC has issued a total of 157 green bonds, including today’s
transaction, amounting to $10.065 billion.
In April 2019 GPIF and the World Bank Group took further steps to promote
ESG integration into fixed income investment as a follow-on initiative
to the joint research "Incorporating Environment, Social and Governance
(ESG) Factors into Fixed Income Investment" published at the 2018
World Bank Spring Meeting.
IFC—a sister organization of the World Bank and member of the World Bank
Group—is the largest global development institution focused on the private
sector in emerging markets. We work with more than 2,000 businesses worldwide,
using our capital, expertise, and influence to create markets and opportunities
where they are needed most. In fiscal year 2019, we delivered more than
$19 billion in long-term financing for developing countries, leveraging
the power of the private sector to end extreme poverty and boost shared
prosperity. For more information, visit www.ifc.org.