Green bond financing for low carbon initiatives

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Our commitment to provide green financing



ADCB’s inaugural green bond issued for USD 500 million is linked to our commitment to provide AED 35 billion in green finance by 2030 and reducing financed emissions in line with the UAE government net zero ambitions.

The 5-year bond, priced at a spread of 115 bps above treasuries with a 4.5% coupon rate, was 3.8 times oversubscribed after attracting a range of local, regional, and international investors that placed total orders of over USD 1.9 billion. The strong investor demand followed a global roadshow and reflected confidence in ADCB and its approach to managing ESG risks and opportunities.

The proceeds of the bond will support financing of green projects in line with criteria set out in our Green Bond Framework, reflecting the UN’s Sustainable Development Goals (SDGs) and the International Capital Markets Association’s (ICMA) Green Bond Principles.

Initiatives eligible for green loans include: projects or companies associated with renewable energy, green buildings, sustainable water and wastewater treatment, clean transportation, energy efficiency, pollution prevention and control. Within our Green Bond Framework, we have introduced a new EU Taxonomy-aligned criterion for defining the top 15% most energy efficient residential buildings in the UAE.

Our green bond was selected to be featured in the Bloomberg MSCI ESG Index.

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To view our green bond video, please click here