The FINANCIAL — Stockholm, November 6, 2008 – The bond issue is one example of the kind of innovation the World Bank is trying to encourage within its “Strategic Framework for Development and Climate Change,” launched earlier this year to help stimulate and coordinate public- and private-sector activity in this area.
According to The World Bank, the offering is the first time both the World Bank and SEB have offered bonds to raise funds identified to a specific World Bank program.
The first World Bank green bonds are denominated in Swedish krona (SEK) for a total amount of SEK 2.325 billion and have a maturity of six years. The interest rate payable annually is 0.25 percent above Swedish government bond rates. SEB is the sole lead manager and will offer the bonds to investors through its distribution network. The bonds responded to demand from a group of Scandinavian investors. Credit Suisse International is a senior co-manager and Landesbank Baden-Württemberg is a co-manager for the transaction.
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