DP World Issues Middle East's First Blue Bond
The Blue Bond aligns with global standards for financing blue economy projects.
Offering investors a 5.25% interest rate over five years.
DP World, an international leader in supply chain solutions, has issued a $100 million Blue Bond to finance sustainable projects related to the marine and water sectors. It has become the first company in the Middle East to raise money through Blue Bond.
The money raised will support projects such as reducing marine pollution, upgrading port infrastructure, promoting clean water access, and protecting marine ecosystems.
This initiative supports the United Nations' Sustainable Development Goals: SDG 14 (Life below Water) and SDG 6 (Clean Water and Sanitation). It also aligns with DP World's Ocean Strategy, which aims to combine global trade with environmental care, supporting a Sustainable Blue Economy.
READ MORE: DP World's Carbon Inset Programme to Reduce Scope 3 Emissions
This is the company's second sustainable financing initiative, with the first green bond being issued in 2023, which helped projects that reduce carbon emissions and generate renewable energy.
Sultan Ahmed bin Sulayem, Group Chairman and Chief Executive of DP World, said: "As a responsible leader in global trade, we are committed to preserving the ocean’s ability to provide for future generations. It is our ambition to lead our industry towards a sustainable blue economy as we work with our partners to remove barriers to comprehensive climate and ocean action. This Blue Bond will lay the foundation for the years to come.
“We are increasingly working in regions where the ocean is being polluted, coastal biodiversity is being lost, and critical resources like water are becoming scarcer, posing significant threats to both nature and people. This issuance represents DP World’s second foray into the sustainable financing capital markets highlighting our commitment to sustainability and demonstrates our approach towards sustainable business practices.”
Rob Sharps, Chairman, CEO, President of T. Rowe Price Group, Inc., said: “We are proud to partner with DP World on its issuance of the first corporate Blue Bond in the Middle East. This innovative transaction will mobilize capital towards UN SDG 14, Life Below Water, while providing an opportunity for attractive investment returns. We recognize UN SDG 14 as the most underfunded of all the sustainable development goals. We hope this transaction can be a model for other issuers and investors to support the blue economy.”
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Source: DP World
