Montreal, QC – April 18th, 2023: FinDev Canada is joining IDB Invest, International Finance Corporation and Finance in Motion to subscribe to a USD 230 million sustainable bond issued by Banco de Bogotá, the third largest financial institution in Colombia, to support its green and social portfolio in Colombia. FinDev Canada will provide USD 50 million of the total 10-year bond.
This bond issuance will enable Banco de Bogotá to grow its climate finance portfolio to counter the increasing impacts of climate change by investing in green buildings, renewable energy, waste and water management, sustainable agriculture, and energy efficiency projects. The Bank will also use this first sustainable bond to facilitate access to credit and housing finance for youth and low-income families and to empower women entrepreneurs. In addition, this issuance will contribute to strengthening the Bank's capital as it will qualify as Tier II subordinated debt.
At least 30 per cent of FinDev Canada’s share of the bond will go to projects that meet the 2X Challenge criteria, investing in companies that empower women, while the remaining will be directed to projects that qualify as climate finance.
“FinDev Canada is proud to work with its partners to support Banco de Bogotá, a financial institution that is leading the way in terms of sustainability practices, in the first sustainable bond issuance in Colombia”, said Paulo Martelli, Chief Investment Officer of FinDev Canada. “This is a great opportunity for FinDev Canada to support a sustainable bond which aligns with our impact goals, particularly climate action and women’s economic empowerment.”
"We are very pleased with the work carried out in collaboration with FinDev Canada for the issuance of our first Sustainable Subordinated Bond. This achievement reflects our commitment to allocate resources to high-impact projects in mitigation and adaptation to climate change. In addition, we are proud to continue driving business development and job creation, access to affordable housing, women's empowerment, and gender equality, as we have set out in our sustainability strategy," stated Isabel Cristina Martinez, Vice President of Sustainability and Corporate Services at Banco de Bogotá.
About FinDev Canada
FinDev Canada is Canada’s bilateral development finance institution. It supports development through the private sector in emerging markets and developing economies with financing, investment, blended finance solutions and technical assistance. It aims to promote sustainable and inclusive growth with a focus on climate action, women’s economic empowerment and market development in alignment with the Sustainable Development Goals and Paris Agreement commitments. FinDev Canada is a Canadian Crown corporation and subsidiary of Export Development Canada (EDC).
About Banco de Bogotá
Banco de Bogotá is a leading financial institution in Colombia, offering a wide range of products and services. It represents the oldest financial institution in Colombia (founded in 1870) and is the main subsidiary of Grupo Aval, the leading financial group in the country. It is listed on the Colombian Stock Exchange (BVC) with a market capitalization of 16.3 trillion pesos as of June 2022. At the end of 2022, Banco de Bogotá had at least one banking service channel in 913 municipalities in Colombia, which represents a coverage of 82 per cent of the national territory, facilitating access to its products and services, in line with its strategy of inclusion in the banking system.
Media contact:
FinDev Canada
Angela Rodriguez
Head of Marketing and Communications
arodriguez@findevcanada.ca