Monday, November 17, 2008
The World Bank and SEB have partnered to issue the first "green bond." As part of a wider World Bank effort to "direct large-scale institutional money to tackling climate change," the money raised will be invested in technologies to reduce greenhouse gase emissions, energy efficiency projects, reforestation, avoid deforestation, and help emerging economies adapt to climate change.
"The triple A-rated bonds will pay a coupon 0.25% above Swedish government bond rates." The green bonds have "raised around $300 million in Swedish krona-denominated six-year bonds."