SINGAPORE — The Monetary Authority of Singapore has appointed DBS, Deutsche Bank, HSBC, OCBC and Standard Chartered to arrange a planned 20-year green infrastructure bond, according to a mandate sheet reviewed by Reuters on Tuesday.
The Singapore-dollar-denominated bond, due in August 2046, will have a minimum size of SG$2.1 billion ($1.63 billion) and could be launched as early as this week, subject to market conditions.
Proceeds from the offering will be allocated under Singapore’s Green Bond Framework, which finances eligible environmentally sustainable projects and requires annual reporting on their impact.
Singapore holds top-tier sovereign credit ratings of “Aaa” from Moody’s and “AAA: from S&P Global Ratings and Fitch Ratings, according to the mandate sheet.
Being a low-lying city-state, Singapore is vulnerable to the effects of climate change, which it views as a global existential challenge.
As such, Singapore is fully committed to global climate action, and will do its part as a responsible member of the international community in accordance with the United Nations’ 2030 Sustainable Development Agenda and Paris Agreement.
The Singapore Green Bond Framework lists eight categories of green projects that may be financed by the country’s sovereign green bonds s — renewable energy, energy efficiency, green buildings, clean transportation, sustainable water and wastewater management; pollution prevention, control and circular economy; climate change adaptation, and biodiversity conservation and sustainable management of natural resources and land use. reuters
