Case Study: Sustainable Sovereign Bond of Peru

At a Glance

Publication Date January 2022
Format pdf
Country Peru
Thematic Areas Gender and Inclusive Development, Climate Resilient and Green Growth, Climate Finance, Green recovery, Green Growth

The Republic of Peru, through its Ministry of Economy and Finance (MEF), approved the Peru Sustainable Bond Framework (Ministerial Resolution No. 221-2021-EF/52) in July 2021, which is governed by the International Capital Market Association (ICMA) principles and recommendations for the governance and issuance process to promote transparency and integrity in the growing thematic bond market. The process was headed by the General Directorate of the Treasury and had the support of the National Council for Competitiveness and Formalization of the MEF and GGGI, which was the entity that provided technical assistance within the framework of the project financed by the United Kingdom Pact Program, called UK PACT.

The case study presents the main characteristics, auspicious factors, good practices and results that led the Republic of Peru to issue its first two Sustainable Bonds and one Social Bond in the same year, debuting in the international sustainable capital markets with issues that reached resources of US$ 3,250 million and 1,000 million euros, respectively, which will directly support the implementation of climate mitigation and adaptation measures established in the country’s NDC, as well as the sustainable management of natural resources, land use and marine protected areas, sustainable agriculture, efficient and resilient management of water and wastewater, among others.