OPEC Fund raises $1 billion via sustainability bond
Gulf states in the organization are showing increasing interest in funding projects related to the environment, renewable energy and green technology.
The OPEC Fund for International Development announced Friday that it raised $1 billion via a bond.
The OPEC Fund offered the bond for sale on Wednesday, and this is the first time ever it has sold the debt instrument. The three-year, fixed-rate bond will go toward financing sustainability-related projects, the fund said in a press release.
The bond will pay investors at an interest rate of 4.5%, according to Reuters.
A 52% majority of investors were from Europe, the Middle East and Africa, with another 27% from Asia. Central banks and other official financial institutions constituted 62% of the investors, followed by private banks at 19%, according to the OPEC Fund.
