BAKU, Azerbaijan, Aug.13
Trend:
The Eurasian Development Bank (EDB) and Green Finance Center under Kazakhstan’s Astana International Financial Center (AIFC) are intensifying the work on the preparation and implementation of green and social projects in the country, Trend reports with reference to the EDB.
According to the bank, the respective agreement was signed on August 13. The Green Finance Center will assist EDB in finding green and social projects, preparing the necessary documentation for the bank to consider the possibility of financing them, as well as in organizing the issuance of opinions by independent companies on the compliance of projects with the principles of green financing (Second opinion).
The EDB strategy for 2022–2026 approved by the bank's council envisages the expansion of the presence of the EDB as a multilateral development bank in the field of green financing.
In accordance with the practices of the International Bank for Reconstruction and Development, as part of the implementation of green finance development strategies, the bank plans to actively borrow in the green bond market, attract grant funding, provide mixed financing, facilitate the transfer of innovative technologies and develop appropriate regulatory policies and procedures.
The implementation of the agreement will be financed by the EDB Technical Assistance Fund established to facilitate the activities of the bank and its potential clients. Thus, the fund's resources, formed from the net profit of the EDB, can cover pre-project costs, subsidize the interest rate on loans issued by the EDB, and ensure the expansion of investment activities as a whole.
The Eurasian Development Bank (EDB) is an international financial institution carrying out investment activities in the Eurasian region. For 15 years, the EDB has been promoting the strengthening and expansion of economic ties and the comprehensive development of the member countries (Belarus, Kazakhstan, Kyrgyzstan, Russia, and Tajikistan).
The objectives of the AIFC are to assist in attracting investments in Kazakhstan's economy, creating an attractive environment for investing in financial services, developing the securities market of the country, and ensuring its integration with international capital markets.