Menu
Banking Exchange Magazine Logo
Menu

Citi announces $1 billion Social Finance bond

Proceeds to support social projects across global emerging markets

  • |
  • Written by  Banking Exchange staff
 
 
Citi announces $1 billion Social Finance bond

Citi Bank is issuing a $1 billion social finance bond to support development projects in emerging markets.

According to the bank, proceeds will finance access to financial services projects, as well as affordable housing, basic infrastructure, healthcare, and education in underserved communities.

The bond is expected to settle on November 3, 2021.

In April, the bank made a $1 trillion commitment to sustainable finance, including $500 billion for social finance and $500 billion for environmental finance by 2030.

Social finance proceeds will aim to expand access to services for 15 million households, including 10 million women, within the first few years of its 2030 commitment, according to the bank.

The Citi social finance bond is a great example of how we’re using our business capabilities to maximize the impact we can make as a bank, especially as we support emerging markets in their recovery from Covid-19,” said Jane Fraser, CEO of Citi.

“By harnessing investor demand and leveraging our unrivalled global network, Citi is enabling others to join us in making a positive difference as we work towards our commitment to support 15 million low-income households, including 10 million women, in the communities that need it most.”

The average value of capital allocated to impact bonds climbed to $438.4 million this month, according to think tank Brookings.

The top three impact bonds by sector in October, globally, were social welfare, poverty reduction and child and family welfare.

In the first half of the year, issuance of social bonds hit $13 billion, according to an analysis from Bank of America.

Financial services group PNC raised $700 million from its first social bond, the company announce in August. The proceeds are to be allocated to social projects centred around affordable housing, access to essential services and socioeconomic advancement and empowerment.

back to top

Sections

About Us

Connect With Us

Resources

WEBINAR

Mitigating loss: Understanding the fraud triangle

Time/Date: Wednesday, December 11th, 2024, 2:00 ET

Fraud continues to be top of mind for bank executives, with hard dollar losses growing at an all-time high.

In this session, we will discuss the fraud triangle and gain valuable insights into the psychology behind fraud, and the tangible and intangible losses incurred due to fraud schemes.

You will come away with a comprehensive understanding of how the fraud triangle applies to your customers, various types of fraud affecting community banks, and actionable steps to mitigate their impact.

REGISTER NOW!

This webinar is brought to you by:

Abrigo logo

Banking Exchange logo