European Investment Bank increases green bond to 1b euros

[LONDON] The European Investment Bank (EIB) said it has increased its 500 million euro green bond to 1 billion euros (S$1.5 billion), showing the increasing importance of green bonds in raising money for low-carbon schemes.

Green bonds are debt instruments designed to raise funds for renewable energy and energy efficiency projects.

The EIB's so-called Climate Awareness Bond matures in 2037 issue and pays an annual coupon of 0.5 per cent, the bank said in a statement.

The EIB is the largest green bond issuer to date, with a total of 16.7 billion euros raised.

REUTERS