Amundi contributes to the launch of one of the largest global blended finance funds: The Global Green Bond Initiative Fund
Amundi, the leading European asset manager [1], is pleased to contribute its expertise to the latest development of the Global Green Bond Initiative (GGBI), an innovative European-led coalition initiative aimed at mobilising private institutional capital for climate and environmental projects in European Union partner countries, with a particular focus on emerging markets and developing economies. GGBI is a flagship initiative under EU’s Global Gateway strategy.
As part of this initiative, Amundi will act as the asset manager of the GGBI fund, launched today in Brussels. This public-private investment vehicle is designed to mobilise private capital at scale, with a target fund size of up to €3 billion. It will leverage close to €1 billion in equity from MDBs and DFIs investors, with the objective of crowding up to €2 billion from private investors. The fund is intended to act as an anchor investor in primary green bond issuances, helping to attract additional private investment to finance climate and environmental projects. It is also supported by an EFSD+ guarantee from the European Commission, which provides credit protection to the GGBI consortium.
The GGBI consortium brings together multilateral and bilateral Development Finance Institutions (DFI) as equity investors including the European Investment Bank (EIB), the Spanish Government, Cassa dei Depositi Prestiti, European Bank for Reconstruction and Development, FMO (the Dutch entrepreneurial development bank), KfW Responsible Bank, Proparco (Agence Française de Développement), the Government of the Grand Duchy of Luxembourg, implemented via LuxDev and with additional funding expected from the Green Climate Fund upon finalisation of the documentation process later this year. The governance structure is defined by the European Commission and the DFIs.
“Unlocking capital is critical to enabling greater participation by emerging markets in the energy transition. To this end, blended finance offers a unique opportunity to deploy capital that delivers both sustainable impact and financial returns.
We are very pleased to contribute to this landmark initiative, being the asset manager of the largest blended finance fund ever launched. This initiative is fully aligned with the strategic ambitions of Amundi in responsible investment. Collaboration among stakeholders is essential to designing effective structures and sharing expertise, and we will continue to leverage our global leadership and differentiated capabilities to advance innovation in these fields.” said Valérie Baudson, Chief Executive Officer of Amundi.
