VEB has prepared criteria (taxonomy) for socially oriented projects (Izvestia has it), the observance of which will be necessary for the use of special financial instruments, including social bonds. Projects on mortgage lending, road construction, business support and the self-employed can be classified as social projects, among others. The state corporation expects the government to approve the document in the second half of 2022.
According to the criteria, social projects should be aimed at solving the problems of target groups of the population: the poor, the unemployed, pensioners, incomplete families, large and young families, orphans, disabled people, ex-prisoners, and so on. In total, the taxonomy contains 10 main directions for the implementation of social projects, including health, education, employment, affordable housing, sports, culture, art and tourism, product availability, infrastructure.
So far, the banks’ portfolios include mainly projects in the field of medicine, said Alexey Miroshnichenko, first deputy chairman of VEB, in an interview with Izvestia. According to him, the criteria provide a guideline for people wishing to finance social projects. The state corporation itself in 2022 plans to issue social bonds for a total amount of 10-20 billion rubles.
The Central Bank has already begun an assessment for a possible reduction in risk weights for all bonds of sustainable development projects, including social ones, Ilya Torosov, deputy head of the Ministry of Economics, told Izvestia.
“If there is a positive decision, a reduced rate on loans may be applied due to the formation of smaller reserves by banks,” the deputy minister explained.
The ministry is already discussing the draft taxonomy with the Bank of Russia, authorities and the business community, in 2022 the document will go to the government for consideration, Ilya Torosov said.
Read more in the exclusive material from Izvestia:
Public bond: criteria for social projects have been developed for issuing bonds
Source: IZ
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.
