Select Page

Development Bank launches inaugural Sustainable Finance Framework

Development Bank launches inaugural Sustainable Finance Framework

By Jaenique Swartz.

The Development Bank of Namibia (DBN) recently launched its inaugural Sustainable Finance Framework (SFF).

The SFF is set to tackle environmental objectives with its seven green categories to accomplish the following: Climate change migration; the sustainable use and protection of water and marine resources; protecting and restoring biodiversity and ecosystems.

Furthermore, the Framework seeks to carry out the four social categories to raise the standard of living, social inclusion improvement, and enhance access to essential healthcare and education.

The Framework is aligned with the four core components which include the International Capital Market Association  Green Board Principles 2021, Sustainability Bond Guidelines 2021, the Loan Market Association’s  Green Loan Principles 2023, and the Social Loans Principles 2023.

“The launch of the board-approved sustainable finance framework is an important milestone for the bank’s sustainability journey. The launch is in advance of a planned debut sustainable bond issuance in the second half of 2023,” said DBN Chief Executive, Martin Inkumbi.

The Framework has received a second-party opinion from S&P Global Ratings which assessed that the Framework is aligned with the category principles.

The SFF is to serve as a reference for all green, social, or sustainability bonds or any other debt-related instruments issued by the DBN locally or in global capital markets to fund the bank’s investments in eligible Environmental, Social, and Governance (ESG) projects.

“As a bank, DBN has a strong ambition to become the go-to ESG bank in Namibia,” Inkumbi concluded.


Pioneering renewable energy finance models, such as for Ombepo Wind Farm (above) contributed to the bank’s strong alignment with various international measures governing sustainable finance.


 

About The Author

Intern

The Economist accommodates two interns every year, one per semester. They are given less demanding, softer issues to hone their skills, often with a specific leaning to social issues. Today, many of our interns are respected journalists or career professionals at economic and financial institutions. - Ed.