The Dutch State Treasury Agency Friday said it will issue its first green government bond in 2019, and that it has chosen Nordea as one of its advisors.
The Dutch State joins a select band of governments that have decided to allocate part of their own government bond to specifically targeting green investments in their country as part of an environment-friendly approach.
“The advisors of the Dutch Direct Auctions are selected based on their primary dealer ranking of 2018,” the DSTA said in a statement on December 14. “Expertise, experience and distributional capacities with regards to green bond issuances is also taken into consideration for the selection of the green bond advisors.”
The 10-year bond is also expected to be the first AAA-rated sovereign green bond.
“At Nordea we are obviously very honoured to be selected as advisor to this transaction, as we share the same goals towards a cleaner planet illustrated by the amount of resources that our bank has allocated to this area,” said head of global rates, Fredrik Floric. “We’ve made a big push on ESG in 2018 which was recognised this month in the Prospera awards and being chosen by the DSTA fits well with this drive to highlight the importance of incubating investment in the green economy.”
“This is not just a trend,” he said. “This is becoming a necessity and it’s important to be recognised as a leader in this sphere.”
Nordea was selected as a primary dealer to the DSTA two years ago becoming part of its official dealer group before this year being elected as one of five advisors to DSTA’s sole benchmark transaction in 2018, a reward, says Floric, for the bank’s hard work to build the relationship with the DSTA..
“We put together a coordinated approach when we learned that the DSTA was investigating the possibility of issuing green bonds,” said Stockholm-based Floric. “It’s enabled us to position ourselves as a trusted, experienced and competent advisor for DSTA’s inaugural green bond issue.”
”For Nordea’s EUR Rates value-chain as well as for our sustainable bond franchise, this is a clear landmark mandate,” the EUR Rates Board said in a statement.
Other banks chosen to facilitate the upcoming DDA include ABN Amro Bank,HSBC and Credit Agricole. The DDA is expected to take place in the second quarter of 2019.
- For more information on the Dutch Government Green Bond mandate, contact Fredrik Floric, Head of Global Rate Sales, Nordea
The information provided within this website is intended for background information only. The views and other information provided herein are the current views of Nordea Markets as of the date of publication and are subject to change without notice. The information provided within this website is not an exhaustive description of the described product or the risks related to it, and it should not be relied on as such, nor is it a substitute for the judgement of the recipient.
The information provided within this website is not intended to constitute and does not constitute investment advice nor is the information intended as an offer or solicitation for the purchase or sale of any financial instrument. The information provided within this website has no regard to the specific investment objectives, the financial situation or particular needs of any particular recipient. Relevant and specific professional advice should always be obtained before making any investment or credit decision. It is important to note that past performance is not indicative of future results.
Nordea Markets is not and does not purport to be an adviser as to legal, taxation, accounting or regulatory matters in any jurisdiction.
The information provided within this website may not be reproduced, distributed or published for any purpose without the prior written consent from Nordea Markets.