Climate Awareness Bonds
In 2007, the EIB issued the world’s first Green Bond, labelled a Climate Awareness Bond (CAB).
As at end 2020, EIB remains a world leader issuer of Green Bonds with over EUR 33.7bn raised across 17 currencies, of which the EUR equivalent of 6.8bn in 2020. The EIB provides the market with benchmark Green Bond issuances in EUR, USD and GBP, but has also issued CABs in AUD, BRL, CAD, CHF, DKK, HKD, INR, JPY, MXN, NOK, PLN, SEK, TRY and ZAR. EIB is increasing liquidity, size, and scale of Green Bond issuance, in addition to gradually building green reference yield curves. For more information, read our latest CAB Newsletter.
The funds are earmarked to match disbursements to EIB lending projects contributing to climate action in the fields of renewable energy and energy efficiency sector:
- in renewable energy this includes for example wind, hydro, solar and geothermal energy production projects; and
- in energy efficiency this includes projects for district heating, co-generation, building insulation, energy loss reduction in transmission and distribution and equipment replacement with significant energy efficiency improvements.
- In June 2020, the EIB announced the extension of CAB-eligibility beyong renewable energy and energy efficiency to two additional areas of EIB activities contributing to climate change mitigation, i.e. (1) research, development and deployment of innovative low-carbon technologies, and (2) electric rail infrastructure and rolling stock, and electric buses.
Read more about EIB's key environmental and social policies and standards, and about our Climate action financing.
Management of CAB proceeds
With the inaugural CAB issue, the EIB pioneered the ring-fencing of proceeds in a dedicated liquidity portfolio. CAB funds raised are allocated to a segregated sub-portfolio within EIB’s Treasury. Pending disbursements, the sub-portfolio is invested in money market instruments. As at end 2019, CAB proceeds have been allocated to 266 projects in 57 countries across the globe - see CAB project allocations for the list of projects supported by CABs.
A list of outstanding Climate Awareness Bonds is available.