Neapalese merchant banker NIMB Ace Capital Ltd. has facilitated the allotment of the “Nifra Green Energy Bond 6% – 2088/89” on behalf of Nepal Infrastructure Bank Limited (Nifra), following investor applications that exceeded the 5 billion Nepalese rupee offering by 3.8 times.
Nifra obtained all regulatory approvals for the “Nepal’s first-ever public issuance of green bond” with support from the Global Green Growth Institute and the Korea International Cooperation Agency.
“For NIMB Ace Capital Ltd., this initiative is a natural extension of our legacy rooted in innovation and foresight,” said Shivanth Bahadur Pandé, CEO of NIMB Ace Capital Ltd. “By enabling Nepal’s first ever green energy bond issuance, we are showcasing our commitment to sustainability, and are building on our long-standing vision of pioneering topical and impactful financial solutions for Nepal’s climate-resilient development.”
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Structured to appeal to both institutional and retail investors, 60% of the bond was allocated via private placement and 40% through a public offering. According to the provider, the strong uptake is seen as a vote of confidence in Nifra’s green finance strategy.
The bond offers a fixed annual interest rate of 6% over a seven-year term. Proceeds will be used to fund clean energy infrastructure, including hydropower and solar projects, in line with Nifra’s commitment to “green, resilient and inclusive development”.
The issuance marks a milestone in Nepal’s capital markets as the country’s first green energy bond and signals a growing appetite for ESG-aligned financial products, shared the provider.