The Government of Fiji issued a $20 million sovereign blue bond on 8 November 2023, the first-ever for Fiji or any Pacific Island Country.
The issuance amount included $15 million for a maturity of 15 years with a coupon of 4.2 percent and another $5 million for a 3-year term with a coupon of 1 percent.
The bond was oversubscribed with a total bid of over $60 million, 3 times the issuance amount.
The over-subscription shows the great interest, confidence and commitment of Fijian investors in sustainable financial instruments.
A total of 18 projects have been selected for funding through the blue bond which are expected to yield multiplier economic and environmental benefits focusing on four key thematic areas: coastal protection, aquaculture sector, developing sustainable towns and cities with blue town concepts, and enhancing solid waste management.
These projects will support employment and income growth in those areas.
The bond issuance has been independently reviewed and approved by Sustainalytics, which is one of the world’s leading rating agencies for thematic bond issuance.
Technical support was provided through the United Nations Development Programme (UNDP) and with generous financial support from the Government of the United Kingdom’s Blue Planet Fund.