First of its kind green Indian rupee bond launched in London
3.15 billion rupee bond is the first green Indian rupee bond to be issued outside of India.
Issued on the London Stock Exchange by International Finance Corporation (IFC) the bond, worth 3.15 billion rupees (approximately 拢31 million), is the first green Indian rupee bond to be issued outside of India
The government welcomed the launch of the bond, the proceeds of which will be invested via Yes Bank, one of India鈥檚 largest commercial banks, in projects that help to address climate change through renewable energy and energy efficiency in India.
The bond is the next stage in IFC鈥檚 (a part of the World Bank Group) ongoing $3 billion offshore rupee bond programme, much of which has been issued in London (including a 10 year rupee bond issued last November).
By issuing their debt in London, IFC are able to take advantage of the UK鈥檚 world leading financial centre, harnessing the expertise available in the UK to further economic development around the world.
Having the first green rupee bond listed in the UK will further deepen integration between the UK and Indian financial sectors. Increasing trade and investment flows between the UK and India, the world鈥檚 fastest growing major economy according to the IMF, is an important part of the government鈥檚 economic plan. The bond also illustrates the important role the financial sector can play in raising capital to address the challenges of climate change.
The Economic Secretary to the Treasury, Harriett Baldwin, said:
Cementing the UK鈥檚 position as the leading global financial centre is an important part of this government鈥檚 economic plan.
That鈥檚 why I am delighted that International Finance Corporation has decided to issue this landmark green rupee bond in London.
As home to both a rapidly growing offshore rupee market, and a rapidly growing green bond market, our financial sector continues to be at the forefront of global trends. That鈥檚 good for the UK, and for our trading partners all around the world.
IFC is part of the World Bank Group and provides advice and investment to help the private sector find solutions to development issues.
IFC鈥檚 new bond will be the 12th rupee denominated bond to be listed on the LSE, raising a combined total of approximately 拢1.9 billion. The issuers of previous rupee bonds on the LSE are the IFC, the European Bank for Reconstruction and Development, and the Inter-American Development Bank.