• EIB’s new EUR 5bn Climate Awareness Bond is over seven times oversubscribed.
• With this issuance, EIB surpasses EUR 100 billion in green and sustainability bonds.
• EIB continues to lead the market by aligning bonds with evolving EU sustainable finance legislation.

The European Investment Bank (EIB) has taken another significant step towards sustainability by issuing a new EUR 5 billion Climate Awareness Euro Area Reference Note (EARN). This 10-year bond, due September 4, 2034, pays an annual coupon of 2.625% and was priced at 98.937%. This latest issuance, over seven times oversubscribed, highlights EIB’s pivotal role in the green bond market.

Announced on August 27 and priced on August 28, the bond’s issuance was met with overwhelming demand, closing with over EUR 34.5 billion in orders from more than 280 investors. This demand allowed the EIB to set the bond size at EUR 5 billion, demonstrating the strong market appetite for sustainable investment opportunities.

With this issuance, the EIB’s cumulative Climate and Sustainability Awareness Bonds have surpassed EUR 100 billion. EIB President Nadia Calviño stated, “The 100 billion Euros mark that we celebrate today symbolizes the phenomenal development of the Sustainable Bond Market since the EIB pioneered issuance in 2007. Capital markets play a key role in the green transition towards a sustainable economy – and the EIB will continue to support it via its financing and borrowing activities.”

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As the largest multilateral development bank issuer of green and sustainability bonds, the EIB remains committed to enhancing sustainable finance. According to a statement from the EIB, “Use-of-proceeds green, social, and sustainability bonds enhance the accountability of sustainable finance.” Since 2018, EIB has aligned its Climate- and Sustainability Awareness Bonds with the EU Taxonomy, showcasing its dedication to advancing the sustainable finance framework in Europe.

This bond issuance marks not just a financial achievement but a significant milestone in the EIB’s ongoing efforts to foster sustainable economic development. The EIB’s commitment to aligning its activities with the EU’s sustainable finance legislation ensures that it continues to lead the way in demonstrating the potential of green bonds to contribute to a sustainable economy.