Standard Chartered Bank (SCB) has introduced the first Green Zero-CouponBond in Bangladesh for Sajida Foundation.
The proceeds of the bond will be used to finance lending to various environment-friendlyand energy-efficient initiatives of the micro-credit and SME clients of Sajida Foundation. The total face value of the bond is Taka 1,000 million.
The announcement came at a ceremony organized at the head office of Bangladesh Securities and Exchange Commission.Professor ShibliRubayat-Ul-Islam, Chairman, Bangladesh Securities and Exchange Commissionwas the chief guest at the programme.
ZahidaFizzaKabir, Chief Executive Officer, Sajida Foundation,and senior executives of the two organisations were also present.
Sajida Foundation will utilize the proceeds to expand theirmicrocredit and SME lending portfoliothrough investing in new and existing projects with environmental benefits. The issuance of this security will provide Sajida Foundation with an alternative source of fund, compared to a conventional term loan. Standard Chartered was thelead arranger for the transaction.
Naser Ezaz Bijoy, Chief Executive Officer, Standard Chartered Bangladesh, said, “Bangladesh has achieved remarkable progress over the last decade. To achieve our collective ambition of transforming into a high-income country by 2041 while building resilience to climate change and other delta challenges”.
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“Green finance holds possibilities for the next phase of our growth journey. We congratulate Sajida Foundation on this landmark transaction. We are grateful to Prof ShibliRubayat-Ul-Islam, under whose far-sighted guidance Bangladesh Securities and Exchange Commission is leading the way for Green Finance in Bangladesh”, he added.
Prof ShibliRubayat-Ul-Islam, Chairman, Bangladesh Securities and Exchange Commission (BSEC) said, “Green bonds have the potential to develop powerful financial tools in creating positive climate action for Bangladesh, with the growing demand for investments addressing climate risks..”
Standard Chartered is leading the debt capital market in Bangladesh and recognized as global leader in Asia, Africa and Middle East. Since pioneering in 1997, the capital markets unit of Standard Chartered Bank has put together over USD 7.00 Billion equivalent to local and foreign currency syndicated loan/debt facilities in Power, Telecommunication, Infrastructure, Food & Beverage, Textile, Service and other key sectors.
