BBVA has taken a further step forward in responsible banking, in accordance with its business model based on principles of integrity, transparency and prudence, through its participation as a member of the Green Bond Principles.
The Green Bond Principles are voluntary guidelines for issuing Green Bonds, based on transparency and integrity in the development of the market. Their mission is to establish a standard that can guide issuers on the key components of an issue, ensure that information is available to investors and make market transactions easier for subscribers. They also include guidelines on the use of funds, the process of project selection and evaluation, fund management and reporting.
The Green Bond Principles were launched in 2014 and have been developed jointly issuers, investors and environmental organizations. Green Bonds are a concept developed in 2007 in response to growing demand by investors interested in opportunities linked to environmental protection.
"BBVA is aligning itself with the latest trend in the universe of capital markets," explains Julián Romero, Head of Bond Syndication-Europe. "The growing interest in socially responsible investment has culminated in the creation of these principles, to which BBVA has now subscribed. In this way, it has positioned itself in the front line of innovation in this class of product and made good on the strategic priorities of our Corporate Responsibility."
Until now, development banks were the main issuers of these bonds; recently the corporate sector has begun to issue them as well. BBVA has participated actively in the Green Bonds market, providing its capacity for structuring and distribution to clients such as Acciona, the EIB and recently GDF Suez, in a 2.5 billion euro issue, the biggest corporate Green Bond issue on the market.