PFC issues India’s first-ever Euro Green Bond

• Integrity Education, Delhi
• 17, Sep 2021

• Power Finance Corporation Ltd (PFC), the leading NBFC in power sector, has successfully issued its maiden Euro 300 million 7-year Euro Bond issuance
• It is the first ever Euro denominated Green bond issuance from India.
• Moreover, it is the first ever Euro issuance by an Indian NBFC
• These Green Bonds are regulated by European Union Commission hence they are referred to as Euro Green Bonds.

What is Green Bond

• A green bond is a type of fixed-income instrument that is specifically earmarked to raise money for climate and environmental projects.
• These bonds are typically asset-linked and backed by the issuing entity's balance sheet, so they usually carry the same credit rating as their issuers’ other debt obligations.​
• Bonds traditionally paid a fixed interest rate (coupon) to investors.
• The World Bank is a major issuer of green bonds

About PFC

• PFC is under the administrative control of the Ministry of Power.
• PFC was conferred the title of a 'Navratna CPSE' in June,2007, and was classified as an Infrastructure Finance Company by the RBI on 28th July,2010.