Chile issued a green euro bond, becoming the first non-European sovereign to offer mined in that coin.
He also sold a 30-year dollar debt instrument last week to finance renewable energy and public transport projects.
The rate was 75 basis points on midswaps
Chile has the best rating in Latin America and the last time that euros debt deposit was in January 2018 with a term of 11 years and with 830 million Euros.
Poland and the Netherlands have also sold green euro bonds this year, while global broadcasts in the first half exceeded $100,000 for the first time.
Green Bonds are securities issued by public or private institutions that are qualified to handle them. They are liquid and fixed-income assets seeking to carry out green, i.e. sustainable, projects and obtain financing from interested investors.
Carbon Bonds and Greenhouse Gas Emissions
The system provides economic incentives for private companies to contribute to the improvement of environmental quality and to regulate the emission generated by their production processes, considering the right to emit carbon dioxide, as a redeemable good and with a set price in the market.
A Carbon Bond represents the right to emit a ton of carbon dioxide
This allows the generation of greenhouse gases to be mitigated, benefiting companies that do not emit or decrease emissions and making those that emit more than allowed pay.
If the owner of a vineyard, a forest in a recovered area, has water rights to the section of a canal, a pig farm or a landfill, then you should know that you can make a big profit from your business. It could make it more efficient and reduce the amount of greenhouse gases it emits in its activity, either with vines or forests.
He then sells a bonus equivalent to that reduction.
It’s likely that a Japanese will want to buy it.
The content poured into this opinion column is the sole responsibility of its author, and does not necessarily reflect the editorial line or position of El Mostrador.
