In response to a question by CNBC Arabia, the Undersecretary of the UAE Ministry of Finance, Younis Al-Khoury, said that the ministry is studying the issuance of green bonds in the coming period to keep pace with the state’s direction to support the green economy.
The UAE Ministry of Finance revealed the success of issuing sovereign bonds worth 4 billion dollars, provided that some of the proceeds of the issuance will be used to provide financing for infrastructure projects, while not exceeding 15% of the direct and indirect public debt.
The ministry stated that 85% of the bond returns will be invested through the Emirates Investment Authority.
The ministry revealed that the 10-year tranche bonds were sold at a value of $1 billion, a difference of 70 basis points over US Treasuries.
The 20-year tranche also sold for $1 billion, a 105-point difference over US Treasuries.