V.E, a Moody’s affiliate, has provided a Second Party Opinion (SPO) on IDB Invest’s Sustainable Debt Framework. The framework – which is aligned with the four core components of the Green Bond Principles 2018 and the Social Bond Principles 2020 – will be used to finance several green and social project categories that contribute to IDB Invest’s mission to promote the economic development of its member countries in Latin America and the Caribbean.
“In our assessment, the bonds issued via this framework will provide an ‘advanced’ contribution to sustainability, as IDB Invest carries out specific due diligence on the environmental and social contribution from the projects that it chooses to finance,” said Juliette Macresy, Executive Director for Sustainable Finance at V.E. “In the next decade, we expect development banks to play a leading role in issuing sustainable debt instruments, paving the way for a broader array of issuers to tap the sustainable debt capital markets.”
IDB Invest is the private sector arm of the Inter-American Development Bank Group and works with the private sector in Latin America and the Caribbean to provide financing and technical assistance for projects across a range of industries. The framework will be used to finance several green project categories, such as renewable energy, clean transport and climate change adaptation, as well as social categories including basic infrastructure, food security and socioeconomic empowerment programmes, among others. As part of its methodology to decide which projects to finance, IDB Invest assesses target population, country and any associated vulnerabilities, and contribution to the Sustainable Development Goals.
V.E’s SPOs on sustainability credentials help market participants secure financing through sustainable bonds and loans, strengthen issuers’ and projects’ credibility, and give investors confidence. To date, V.E has produced more than 300 SPOs on sustainable financing operations across over 30 countries. This is the second SPO that V.E has provided to a development bank this month, following its SPO on the West African Development Bank’s (BOAD) Sustainability Bond Framework. In 2020, V.E provided SPOs within Latin America on Mexico’s pioneering SDG Sovereign Bond and Chile’s Sovereign Sustainable Bond Framework, as well as the French Development Bank’s SDG Bond Framework.
THE FULL SPO IS AVAILABLE FOR DOWNLOAD BELOW.
For more information on this SPO and V.E’s Sustainable Finance solutions:
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Vigeo Eiris (V.E) is a global leader in ESG assessments, data, research, benchmarks and analytics. Leveraging our extensive proprietary database, we equip market players with the ESG insight they need to manage risks and better understand and address their social and environmental impact. Since 2019, V.E has been an Affiliate of Moody’s Corporation. V.E has an industry unique ISO 9001: 2015 quality certification for its processes relating to methodology, assessments, sale and delivery of its data to all types of investors and issuers. V.E is a Climate Bonds Initiative Verified Provider of Second Party Opinions. With a team of nearly 300 experts of 30 different nationalities, V.E is present in Paris, London, Brussels, Casablanca, Hong Kong, Milan, New York, Singapore, Rabat and Santiago.
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Second Party Opinion, SPO, SUSTAINABLE FINANCE