With investors and other market participants increasingly using the SDGs as a framework for investment, the World Bank considers the Global Sustainable Development Bond an opportunity to align financial and social objectives.
The ten-year Bond raised EUR 1.5 billion from institutional investors to finance the Bank’s sustainable development activities.
The SDGs highlighted by the Bond - Goals 2, 5, 13 and 16 - align with Ireland’s focus areas for development.
16 May 2019: The World Bank has issued a ten-year Global Sustainable Development Bond to raise awareness of SDG 2 (zero hunger), SDG 5 (gender equality), SDG 13 (climate action) and SDG 16 (peace, justice, and strong institutions). The Bank’s first ten-year EUR global bond in ten years, the financial instrument was launched during a workshop in Ireland on catalyzing global savings for the SDGs.
The workshop titled, ‘Catalyzing Global Savings to Advance Our Sustainability Goals,’ took place from 15-16 May 2019, in Dublin, following the city’s designation in late 2018 as a European hub of the Financial Centers for Sustainability (FC4S) network, and Ireland’s issuance of its first green bond. The event brought together bond issuers, investors and other market participants for action on the SDGs.
The Global Sustainable Development Bond raised EUR 1.5 billion from institutional investors to finance the World Bank’s sustainable development activities. The Bond was oversubscribed, with an orderbook reaching EUR 2 billion with orders from 69 investors. On the occasion of the launch, Jingdong Hua, World Bank, reflected on the strong interest and commitment of investors to support the SDGs through World Bank bonds.
Paschal Donohoe, Ireland’s Minister for Finance and Public Expenditure and Reform, highlighted the country’s new international development policy, ‘A Better World,’ which aims to help achieve the SDG, and said the Bond supports that strategy. The specific SDGs highlighted by the Bond align with Ireland’s focus areas for development: gender equality; reducing humanitarian need; climate action; and strengthening governance.
With investors and other market participants increasingly using the SDGs as a framework for investment and way to communicate support for specific development priorities, the World Bank notes, the Bond offers “an opportunity to align financial and social objectives.” [World Bank Press Release]