MANILA, Philippines — The government has called on investors from Europe to support the Philippines’ maiden offering of green bonds.
“We recently inaugurated our Sustainable Finance Framework for green bonds to support our climate action commitments. In the coming weeks, the Philippines will issue its first-ever environmental, social and governance sovereign bond for a benchmark size of $500 million,” Finance Secretary Carlos Dominguez said.
“We look forward to the European investors’ strong support of this landmark offering,” he said.
He said the upcoming issuance of green bonds indicates that the Philippines takes climate change seriously.
In a separate TV interview, Dominguez said the government has yet to decide when to issue its first-ever green bonds due to the volatility of the investment environment.
“This year the Philippines aims to issue its first-ever sustainability bonds for a benchmark size of at least $500 million. The timing of the issue will depend on prevailing market conditions and investor sentiment,” Dominguez said.
“We are in deep conversation with our bankers and, as soon as the market conditions are ready, we will make the appropriate announcement as to the exact timing and size of our sustainable bond issue,” he said.
The government plans to enter the green bond market at a time when it avoids issuing offshore debt papers, as the impending Fed hikes are expected to increase borrowing costs abroad.