Bank of Nova Scotia announced the closing of its inaugural US$1-billion three-year sustainability bond on Tuesday.
Proceeds from the bond, which has an annual interest rate of 0.65% and matures on July 31, 2024, will be used to finance or refinance green and/or social assets that meet Scotiabank’s sustainable bond framework eligibility criteria.
The framework includes a number of environmental and social categories such as affordable/community housing, women-owned businesses and leadership in diversity and inclusion.
In a release, Scotiabank said the bond was the largest of its kind issued by a Canadian financial or corporate institution.
“This inaugural Sustainability Bond offering helps Scotiabank put into practice the commitment we have made to improve society and drive meaningful change for every future,” said Meigan Terry, senior vice-president, chief communications and social impact officer at Scotiabank, in a statement.