First Abu Dhabi Bank (FAB) has issued a HKD 390 million (USD 50 million) five-year Blue Bond, marking the first time a financial institution in the Gulf region has introduced such an instrument.
The bond, placed privately, was anchored by a ‘Dark Green’ investor seeking a dedicated blue-labelled security. FAB confirmed that the issuance adheres to its 2023 Sustainable Finance Framework and aligns with the International Capital Market Association’s Green Bond Principles.
Projects eligible under FAB’s blue asset pool include sustainable water management initiatives, such as infrastructure for clean drinking water, climate adaptation projects like wetland, mangrove, and coral reef conservation, as well as sustainable fisheries and aquaculture management, alongside biodiversity protection.
Crédit Agricole Corporate and Investment Bank acted as the Sole Dealer for the transaction.
Earlier this year, in January 2025, DP World secured USD 100 million through the MENA region’s first Blue Bond, aimed at financing sustainable initiatives in the maritime and water industries.
The five-year bond was issued with a coupon rate of 5.25 per cent.
