• Orders peak at $1.5 billion, showcasing strong market demand and confidence in CBD’s financial performance and ESG framework.
  • CBD's green bond issuance follows its integration of ESG considerations into its corporate strategy, contributing to a more sustainable and inclusive society while supporting the UAE's sustainability ambitions.

Dubai:- Commercial Bank of Dubai (CBD) is pleased to announce the successful issuance of its inaugural green bond, raising USD $500 million and marking a significant milestone in the bank's commitment to sustainable finance during the UAE Year of Sustainability.

The five-year bond, with a coupon rate of 5.319%, was priced at 140 basis points over Treasuries. The issuance generated substantial interest from investors following a well-received global road show. The final order book delivered an impressive price tightening of 35 basis points from the initial price thoughts (IPTs), representing the strongest spread tightening this year for a MENA conventional FI issuance. 

This remarkable demand showcases the confidence placed by local, regional, and international investors in CBD's strong and sustained financial performance and Environmental, Social, and Governance (ESG) approach, further emphasizing the growing importance of sustainable investment opportunities.

CBD has integrated ESG considerations into its corporate strategy, and will continue to actively support initiatives that promote environmental sustainability and contribute to a more sustainable and inclusive society and economy aligned to the sustainability ambitions of the UAE.

Dr. Bernd van Linder, Chief Executive Officer of Commercial Bank of Dubai, stated, "This successful issuance of CBD's inaugural green bond underscores our strategic dedication to long-term sustainability and our proactive approach in addressing environmental challenges. By supporting the UAE's sustainability ambitions and contributing to a greener future, we are aligning ourselves with global environmental goals and driving sustainable finance to help foster a more resilient economy."

The proceeds from the green bond issuance will be exclusively allocated to financing projects adhering to the criteria outlined in CBD's Sustainable Finance Framework. Eligible initiatives include renewable energy, green buildings, clean transportation and pollution prevention and control. This framework aligns with the United Nations Sustainable Development Goals, including but not limited to clean energy, sustainable infrastructure, and climate action. It follows the International Capital Markets Association (ICMA) Green Bond Principles, ensuring transparency and credibility. CBD obtained a 'Second Party Opinion' to verify the sustainability quality of the framework and its alignment with Green Bond Principles.

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About Commercial Bank of Dubai:

Commercial Bank of Dubai was established in 1969 and is registered as a Public Shareholding Company (PSC). The Bank is listed on the Dubai Financial Market and is mostly owned by UAE Nationals, including 20% by the Investment Corporation of Dubai (ICD). Over the years, Commercial Bank of Dubai has built itself into a progressive and modern Banking institution, endowed with a strong financial structure and strong management, as well as a loyal and ever increasing customer and correspondent base. Today CBD is one of the leading banks in the United Arab Emirates and offers its customers a full range of retail and commercial banking products and services. 

For additional information, contact CBD’s PR and Media team at PRandMedia@cbd.ae