World Bank Group member IFC and asset manager T. Rowe Price have jointly planned to offer a global blue bond strategy to enhance financial access for ocean and clean water-friendly projects in emerging markets.
The T. Rowe Price Emerging Markets Blue Economy Bond Strategy aims to attract international capital from investors for supporting blue-labelled investments in global emerging markets facilitated through blue bonds issued by financial institutions and real sector companies.
According to Makhtar Diop, MD of IFC: “This strategy will also be critical in promoting sustainable capital markets in emerging markets and developing economies.”
Rob Sharps, CEO and president of T. Rowe Price, added: “Our emerging markets investment experience can provide opportunities for positive investment returns while supporting sustainable capital markets and preserving valuable water resources for generations to come.”
The T. Rowe Price and IFC collaboration aligns with the UN’s sustainable development goals (SDG), particularly UN SDG 6 and SDG 14, emphasising the importance of water sustainability and ocean conservation.
A Technical Assistance Facility (TAF) managed by IFC will support T. Rowe Price’s investment activities to enhance the supply of blue bonds from real sector borrowers, aiming to “boost the quality and quantity of blue bond issuance in emerging markets”.
Additionally, they have jointly developed blue impact investment guidelines to ensure that mobilised resources contribute effectively to the goals of a “sustainable blue economy”.
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