Japan’s GPIF and NIB to promote environmental bond investments

Nordic Investment Bank and Japan’s Government Pension Investment Fund (GPIF) have launched a joint collaboration to promote the integration of environmental, social and governance considerations in investment decisions and the growth of sustainable finance markets.

NIB is issuing Environmental Bonds, allowing investors to provide funds for projects that contribute to the transition to a low-carbon economy. 

NIB established its Environmental Bond (NEB) Framework in 2011, and has since issued a total of €3.7 billion in environmental bonds. More than 60 eligible projects have been financed with the proceeds. Investors receive insight on the effect of their investments through project-based impact reporting.

The NEB Framework is aligned with the Green Bond Principles and its four core components: Use of Proceeds; Process for Project Evaluation and Selection; Management of Proceeds and Reporting. NIB actively takes part in the development of the green bond market and is chairing the Executive Committee of the Green Bond Principles, Social Bond Principles and Sustainability Bond Guidelines.