Advisory firm International Finance Corporation and US-based investment manager T Rowe Price have unveiled plans to create a global blue bond strategy. The T Rowe Price Emerging Markets Blue Economy Bond Strategy’s objective is to increase access to finance for blue projects in emerging markets and enhance blue bond market standards. Since 2020, IFC has mobilised more than US$1.4 billion through 12 blue bonds and loans issued by private sector financial institutions in developing economies. The bond’s investment activities will be complemented by an IFC-managed Technical Assistance Facility designed to increase the quality and quantity of blue bond issuance in emerging markets. IFC noted that blue finance momentum is growing, with increased interest from both investors and issuers in blue bonds and loans that fund ocean-friendly projects and safeguard clean water resources. Makhtar Diop, Managing Director at IFC, said: “This strategy with a dedicated vehicle for blue investment will also be critical in promoting sustainable capital markets in emerging markets and developing economies.” Regulation Asia, ESG Investor’s sister publication, recently explored how blue finance frameworks are starting to make ripples across the region.
🌊 Blue financing is critical to protecting our oceans and the livelihoods of those who depend on them. By working with partners like @TRowePrice, IFC is supporting the growing global blue economy: https://t.co/0g8CmDUo5c #COP28 #BlueFinance pic.twitter.com/y3ircFVTSi
— IFC (@IFC_org) November 20, 2023