Green loan wave yielded bond record

Never before have so many new loans been listed on Oslo Børs during the month of January. Record inflows of green bonds have contributed to the record high activity.

68 new loans were listed in January with a total outstanding value of NOK 31.6 billion. Thus, the monthly record of 58 issues from 2017 has been thoroughly beaten - see figure below.

Green bond record with greenest winter ever. Increased interest in sustainable investments has sent green bonds surging in recent months - see figure below. In January, seven new green bonds were listed, and the total outstanding green loan value grew by NOK 8.4 billion, or 23.5 percent, to NOK 44.4 billion. December was also a busy month with six new green bonds listed.

 

In January 2015 Oslo Børs became the first stock exchange in the world to have a separate list for green bonds. The funds raised by issuing green bonds have to be used exclusively to finance environmentally friendly projects. Issuers looking to list on Oslo Børs’ green bonds list are subject to the same listing requirements and continuing obligations that apply for regular listed bonds. In addition, the following requirements apply:

  • An independent second opinion that certifies the environmentally friendly nature of the bonds
  • The second opinion must be made publicly available in order to enable investors to understand the environmental aspects of the projects that are to be financed by the bond
  • The issuer’s ongoing disclosure obligations from issuing a green bond (i.e. continuing project reporting agreed with investors upon the issuance of the bond) must be made publicly available through stock exchange announcements

Read more about green bonds

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