City of CT raises R4.3bn with 'green bond'
Mayor Patricia de Lille says the response to the bond demonstrates investors' appetite to invest in sustainable projects in the city.
CAPE TOWN - The City of Cape Town has raised four times more money for environmentally sustainable projects through its inaugural green bond than expected.
Within two hours on Wednesday, 29 investors made offers totalling R4.3 billion.
Mayor Patricia de Lille says the response to the bond demonstrates investors' appetite to invest in sustainable projects in the city.
The City of Cape Town had been mulling a green bond for some time.
Certified by the Climate Bonds Initiative, it's been awarded a GB 1 rating by Moody's.
De Lille says Wednesday's performance demonstrates that it pays to go green.
Her spokesperson Zara Nicholson said, “It's been a tremendous learning curve and it proves that there are many innovative ways to raise the finances to address infrastructure needs and to respond to climate change.”
Projects to be funded by the bond include buying electric buses, improving energy efficiency in buildings and the installation of water management technology.
