Brazil’s BNDES raises $1 billion through issue of green bonds

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The Brazilian Development Bank (BNDES) has raised $1 billion through the issue of green bonds. The proceeds from the issuance will be used for new or existing wind and solar power projects across Brazil, the BNDES said in its press release.

The development bank explained that this is the first international issuance of green bonds made by a Brazilian bank to date. The bond emission attracted overall $5 billion from 370 interested investors. The notes, which are due in 2024, will be listed on the Luxembourg Green Exchange.

Between 2003 and 2016, the BNDES approved 87 financing operations worth BRL 28,500 million (approximately $8.9 million) in the wind sector.

Currently, the BNDES is running a support scheme for the solar industry which imposes the use of locally manufactured PV components for the granting of a loan of a large-scale project. The bank is providing different kind of loans to projects such as PV factories and solar power plants.

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