SINGAPORE: The government’s first sovereign green bond, raised in the amount of$ 700 million( US$ 511 million ), will be used to fund the construction of the Cross Island Line( CRL ) and the upcoming Jurong Region Line.
As of March 31, 2023, the amount represents 30 % of the S$ 2.4 billion raised in the inaugural sovereign green bond( the & nbsp, Green Singapore Government Securities ( Infrastructure ).
The Ministry of Finance( MOF ) stated on & nbsp, Thursday( Sep 21 ), when it published the first edition of the Singapore Green Bond Report, that” the remaining unallocated proceeds are expected to be fully allocated to the JRL and CRL by the end of FY2024″
The report describes Singapore’s sovereign green bond for the 2022 fiscal year, including its allocation, & nbsp, and anticipated environmental impact.
The Singapore government’s first issuance of sustainable debt was the 50-year & nbsp, sovereign green bonds, which were issued in August 2022. On September 4, 2023, the second tranche of Green SGS ( Infra ) bonds was issued. The report for the following year will include information on its allocation and impact.
By 2030, the state and its legal board plan to issue up to S$ 35 billion in sovereign and public sector natural ties.
Four green categories— clean transportation, waste management, green building, and sustainable water — have seen the issuance of S$ 8.2 billion worth of green bonds as of March 31. & nbsp,
According to Indranee Rajah, second minister for finance and regional development and chair of the Green Bond Steering Committee, climate change is the” defining problem” of our creation. In the report, he stated that” sustainable funding plays a pivotal role for decarbonization to tackle this weather problems.”
Natural relationship proceeds can be used for projects like renewable energy, energy efficiency, preventing waste, and climate change adaptation. They must follow regulations.
Singapore’s transition to a low-carbon market may be made easier thanks to the projects funded by these alternative bond money, and the nation will also be better positioned to meet its climate targets under the Paris Agreement and pledges outlined in the Sustainable Development Agenda of the United Nations. & nbsp,