IDB Invest Allocates $3.7 Billion from Sustainable Bonds to Drive Green and Social Impact

PRESS RELEASE from IDB Invest
14 November 2024

• Proceeds from a total of 18 sustainable bonds issued have been allocated to 109 green and social projects in Latin America and the Caribbean.
  
  
• Helped finance 1.2 million MSMEs, create 145,000 jobs, and reduce over 11 million tons of greenhouse gas emissions.

 

BAKU, Azerbaijan – IDB Invest launched its annual Sustainable Bond Allocation and Impact Report, marking the third round of proceeds allocation under its Sustainable Debt Framework. The report covers IDB Invest’s bond issuances from 2021 through 2023, showcasing the actual, cumulative impact of these investments in Latin America and the Caribbean. The report was announced during the UN Conference of the Parties on Climate Change (COP29) in Baku, Azerbaijan.

According to the new report, of the cumulative $3.7 billion allocated from IDB Invest’s sustainable bond issuances, 56% supported social projects and 44% funded green projects in Latin America and the Caribbean. Notably, the largest share of funding supported projects focused on socioeconomic advancement and empowerment ($1.3 billion) and renewable energy ($1.2 billion), both critical areas for regional development.  

The report highlights key metrics demonstrating the significant environmental and social impact, including reducing carbon emissions, increasing renewable energy generation, and expanding financing for underserved populations. 

“Our projects address the region’s pressing challenges while fostering partnerships for innovation, economic growth, and social inclusion,” said James Scriven, CEO of IDB Invest. “From environmentally focused efforts like greenhouse gas reduction, wastewater management, and renewable energy, to socially-driven initiatives that provide access to clean water, create jobs, and support MSMEs, we’re driving positive change.”

An independent review by Sustainalytics confirmed that the report meets IDB Invest’s Sustainable Debt Framework criteria and reporting commitments.

The report is a cornerstone of IDB Invest’s Sustainable Debt Framework, which was established in 2021. The framework enables IDB Invest to issue green, social and sustainability bonds aligned with the Green Bond Principles and the Social Bond Principles published by the International Capital Market Association. These bonds reflect IDB Invest’s robust approach to impact and its strong environmental, social and governance safeguards.

Download the report here: Allocation and Impact Report 2023

About IDB Invest

IDB Invest is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social, and environmental development in the region. With a portfolio of $21 billion in assets under management and over 394 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries. Visit our website idbinvest.org.