Orders worth over 135 billion euros: the demand for green bonds is enormous. The money is to be used to finance climate projects as part of the Corona aid package.
The European Commission has sold the first so-called green bonds, which are intended to finance climate projects as part of the Corona aid package. The first bond has already brought in 12 billion euros, said budget commissioner Johannes Hahn on Tuesday.
According to the EU Commission, the demand exceeded the supply of bonds by more than eleven times: Orders worth over 135 billion euros had been placed for the first bond. Hahn said the EU’s green bond sales program is the largest in the world. The start of sales is a “great success”.
250 billion euros are to be raised in this way
Overall, the EU Commission wants to raise up to 250 billion euros through green bonds. This is to finance around 30 percent of the EU’s corona development program, which costs around 800 billion euros.
The money that the Commission wants to raise by selling the green bonds by the end of 2026 is intended to finance only climate-friendly projects in EU countries. Hahn cited a research project on the energy transition, the construction of wind farms or the digitization of car production as examples.
According to its own statements, the Commission has already issued bonds worth EUR 68.5 billion to finance the development program this year. Overall, the commission wants to sell bonds worth 80 billion euros by the end of this year – including the green bonds.
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
