Green bonds which are used to finance environment and climate-friendly projects have been issued by Leading commercial bank, Bank Windhoek. The leading Namibian bank announced this milestone achievement to finance eligible green projects and assets, on Thursday. Bank Windhoek which is Namibia’s largest locally owned bank and the second largest lender will become the first commercial lender in southern Africa to issue such a bond.

Green bonds are a growing category of fixed-income securities, which raise capital for projects with environmental benefits. The bond, listed on the Namibia Stock Exchange, raised 66.60 million Namibian dollars ($4.74 million) on a private placement basis.

This bond will see investments in projects that are climate-friendly such as renewable energy, energy efficiency and resource efficiency, green buildings, sustainable waste management, sustainable land use, clean transportation, sustainable water management and climate change, critical issues that are being neglected in Africa.

Claire Hobbs, Bank Windhoek Chief treasurer while talking about the investment said, “The issuance of Namibia’s first green bond is a testament to Bank Windhoek’s vision to be the financial partner of choice, ultimately leading to positive change in the country and the Southern African region.

Read more at Reuters