Sustainalytics Confirms the Compliance of Unibank’s Green Bond Framework with the International Standards
Sustainalytics, the experts of the leading analytical company in the field of ESG, provided the second party opinion on the concept of issuing green bonds of Unibank and confirmed that it aligns with the core components of the Green Bond Principles 2021.
The issuance of “green” bonds – securities, the proceeds from the sale of which are invested in environmental projects – is a global trend that is rapidly gathering momentum. Unibank has already started integrating the principles of environmental and social governance (ESG) responsibility into its development strategy, and in September 2022 completed the development of Unibank’s Green Bond Framework concept, according to which it plans to start issuing “green” bonds.
The attracted investments will be used to finance projects in Armenia in the areas of energy efficiency, promotion of the rational use of natural resources in agriculture, purification of water resources, and waste management. For these purposes, the bank will establish a Committee on Green Bonds and Sustainable Development Bonds.
Sustainable finance bond issuance amounted to $859 billion in 2021, the highest ever, while last year it amounted to $534.3 billion. Over half of the issue volume was in green bonds and 80% of the funds were directed to the development of renewable energy, sustainable construction and low-carbon transport.
Unibank’s team fully supports the trend towards responsible investment and care for the environment. Unibank has already implemented an environmental and social management system (ESMS) developed under the leadership of the International Finance Corporation; for the purpose of decarbonization the Bank has switched the data center to solar power batteries. The proceeds from the green bond issue will be used to implement green projects, stimulating the transition to a low-carbon, climate-resilient and green economy.
According to the summary of Sustainalytics, Unibank’s Green Bond Framework is impactful and credible. Sustainalytics expects that the eco-projects refinanced by Unibank will enhance the state of the environment and contribute to the development of “green” energy in Armenia based on the use of renewable energy sources.
