Tokyo-based banking and financial services company Mizuho announced today an €800 green bond issuance, its largest to date, and the largest euro-denominated green bond issued by a financial institution.
The green bond offering forms part of Mizuho’s initiative to accelerate its environmental business and expand its positive impact through finance, which includes a goal to facilitate 12 trillion yen ($85 billion) of environmental finance between 2019 – 2030.
In a statement announcing the new bond, Mizuho said:
“Based on our awareness that climate change is one of the most crucial global issues having the potential to impact the stability of financial markets, we have positioned addressing environmental issues and climate change as a key part of our corporate strategy.”
The issuance forms part of a series of climate-focused moves by Mizuho, including the launch earlier this year of the company’s net zero transition plan, with goals to achieve carbon neutrality in operations by 2030, and targets to reduce Scope 3 financed emissions. Mizuho was the first Japanese financial institution to join the Partnership for Carbon Accounting Financials (PCAF), committing to measure and disclose the greenhouse gas (GHG) emissions impact of its loans and investments.
The green bond is Mizuho’s fourth to date, and its second this year, following a $500 million offering earlier this year. Proceeds from the new issuance will be used to finance environmentally friendly projects through Mizuho Bank. Eligible funding categories under the company’s green bond framework include renewable energy, clean transportation, pollution prevention and control, and green buildings.
The company stated:
“Leveraging our knowledge as a financial services group, we will proactively continue to provide advice, and solutions, including financing support such as sustainable finance and environmental finance, for strengthening and shifting our clients’ businesses towards decarbonization.”