Access Bank said it has secured the issuance of a five-year fixed rate senior unsecured 15 billion naira green bond, which is the first ever climate bonds standard fully certified corporate Green Bond to be issued in Africa.
The bank said the five-year fixed rate senior unsecured green bond has been awarded an Aa- rating by Agusto & Co., while the underlying framework has been verified by PwC (UK), and the Bonds has been certified by the climate bonds initiative as having met the global climate bonds standard.
The management of Access Bank had in anticipation of the Issuance, launched the Nigerian Green Bond Market Development Programme in June 2018, in partnership with FMDQ OTC Securities Exchange and the Securities & Exchange Commission.
The bonds are priced at a coupon of 15.5 percent, with participation from a wide range of asset managers and pension fund administrators.
The Green Bond Issuance demonstrates the Bank’s commitment to sustainable operational practices and being a pioneer operator, both in domestic and international capital markets. The bank supports the global climate change mitigation and adaptation agenda and seeks to promote responsible green lending globally.
The bank has a strong track record in deploying environmental and social risk management tools, as well as partnering with local and international agencies to deliver a greener outcome from investing activities.
According to the Bank’s Group Managing Director, Mr. Herbert Wigwe, “with our pace-setting experience in the mainstreaming of sustainability in our business operations, we are confident that this issue will further help in supporting environmentally friendly investors to meet their investment objectives whilst simultaneously supporting the Bank’s customer towards realizing growth opportunities in fast-developing low carbon economy”.
Wigwe noted that all the bank’s sustainability efforts are well aligned with the Federal Government’s Nationally Determined Contributions (NDCs), the UN Sustainable Development Goals (SDGs), the Economic Recovery and Growth Plan (ERGP) and Vision 2020.