ANZ intends to issue its first green bond in order to fund projects that have a positive environmental or climate benefit.
According to an ANZ statement, the green bond – which has been certified by the Climate Bonds Initiative (CBI) – will be used to finance a portfolio of existing ANZ loans that develop low carbon industries, technologies and practices.
ANZ Group treasurer Rick Moscati said: “We have developed the bond in response to investor demand and to deliver on our commitment to deploy capital for the transition to a lower-carbon economy.”
“Importantly, the continued development of Australia’s green bond market should enable ANZ to increase funding allocated to green projects in the future,” said Mr Moscati.
The portfolio includes loans to wind power and solar projects, green-star rated commercial property buildings in the Asia Pacific, and will possibly consider geothermal power and fuel efficient transportation sectors in the future, the statement said.
ANZ Global Loans director of sustainable finance solutions Katharine Tapley said: “We are pleased to be leveraging our position as a leading financer to the renewables and commercial buildings sector to support the development of the green bond market.”
“Likewise, our customers whose projects are included in the bond have been overwhelmingly supportive of this move,” Ms Tapley said.