ECONOMYNEXT – Sri Lanka’s DFCC Bank will issue 5 year redeemable blue bonds to raise 3 billion rupees, it said in a stock exchange filing.
The bank said it had decided to issue up to 30 million senior, listed, rated, unsecured, redeemable blue bonds at 100 rupees each.
The issuance will comprise two categories of bonds;
i) fixed-rate coupon bonds to be issued at a par value of LKR 100/- with maturities of up to 5 years, and
ii) zero-coupon bonds to be issued at a discount to face value, with maturities of up to 5 years.
The coupon/interest rates (and/or yield to maturity) is to be decided prior to the finalization of the Trust Deed based on the market rates prevailing at that point in time, the bank said.
The issue is subject to obtaining all necessary regulatory and other approvals.
Blue bonds, like green bonds, fund ESG or sustainable initiatives, but with a focus on water such as investments in water and wastewater management, offshore renewable energy, reducing ocean plastic pollution, marine ecosystem restoration, sustainable shipping, and eco-friendly tourism. (Colombo/Jul31/2025)
