National Australia Bank’s (NAB) A$300
million ($247 million) certified climate bond is the first
green bond from an Australian financial institution. It is also
the world’s first bank bond to be certified as a
NAB’s climate bond is only the second
accredited green bond from an Australian issuer. It follows the
World Bank’s A$300 million green bond sold in
April in the domestic market. Property developer Stockland, the first Australian corporate green bond issuer,
came to market with a €300 million ($872 million)
seven-year offering in October.
NAB’s deal being denominated in
Australian dollars, and sold into the domestic market,
demonstrates local demand for an asset class that has become
increasingly popular in the US and Europe.
NAB group executive...