ZANACO launches 100m USD bond to support climate projects

ZANACO has launched a 100 million United States Dollar Medium-Term Note Programme that will support the issuance of sustainability bonds aimed at mobilising long-term capital for green and social projects in Zambia. British Investment International (BII) offered technical support for the establishment of the bond Framework and has invested USS 15 million on the platform. […]

ZANACO has launched a 100 million United States Dollar Medium-Term Note Programme that will support the issuance of sustainability bonds aimed at mobilising long-term capital for green and social projects in Zambia.

British Investment International (BII) offered technical support for the establishment of the bond Framework and has invested USS 15 million on the platform.

The proceeds will be directed towards eligible projects in areas including renewable energy, climate-resilient agriculture, financial inclusion, affordable housing, healthcare, education and other initiatives with measurable environmental and social benefits.

Speaking at the launch at ZANACO Chief Executive officer Mukwandi Chibesakunda disclosed that the bank’s inaugural sustainability bond will go beyond raising capital, with proceeds expected to support climate resilience, economic growth and social development in Zambia.

“At ZANACO, our purpose is anchored on our You First philosophy. It is a commitment that places our customers, communities and our country at the centre of every decision we make,” he said.

And British International Investment (BII) Managing Director and Head of Africa Chris Chijiutomi stated that the transaction was aligned with BII’s new five-year strategy, which places emphasis on strengthening the local financial system.

Meanwhile, British High Commissioner to Zambia Rebecca Terzeon said the transaction demonstrated the UK’s shift towards an investment-led approach to development partnerships.