Dienstag, 23. April 2013

EIB’s launches its first Climate Awareness Bond transaction of 2013

(LEXEGESE) - On 22 April 2013, the European Investment Bank (‘EIB’) priced its first Climate Awareness Bond (CAB) transaction of 2013, a SEK 500 million tap of the April 2019 line, thus offering a residual maturity of 6 years. 

Climate Awareness Bonds raise funds from fixed income investors to support EIB lending for renewable energy and energy efficiency. The EIB is among the largest financiers of projects to tackle climate change, having provided over EUR 13bn worldwide in 2012 alone. Through CABs, investors have the opportunity to contribute to EIB’s Climate Action financing.

According EIB, Proceeds from Climate Awareness Bonds issues are used exclusively to finance renewable energy and energy efficiency projects that include:
  • renewable energy projects such as wind, hydro, solar and geothermal energy production; and 
  • energy efficiency projects such as district heating, co-generation, building insulation, energy loss reduction in transmission and distribution and equipment replacement with energy efficiency gains of 20% or more.
Pending disbursement, the proceeds are kept in a separate sub-portfolio of EIB’s treasury and are invested in money market instruments. 

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