CAF – Development Bank of Latin America and the Caribbean has issued its inaugural Blue Bond, raising EUR 100 million to finance sustainable coastal and marine programmes in Brazil, Ecuador and other countries in Latin America and the Caribbean. The five-year instrument, priced at a coupon of 2.975% and due 11 June 2030, was fully subscribed by BNP Paribas Cardif.
The United Nations Development Programme served as technical coordinator for the transaction, providing pre- and post-issuance support including project screening, validation of SDG alignment and co-development of impact reporting. The bond has been listed on the London Stock Exchange under ISIN XS3092683690.
USE OF PROCEEDS
Blue Bonds direct capital towards the protection and restoration of ocean and freshwater ecosystems. The proceeds will support marine conservation projects and sustainable water management initiatives in countries including Brazil and Ecuador.
UNDP's role encompasses assessing eligible project categories, monitoring environmental outcomes, and providing reporting guidance.
SUSTAINABLE FINANCE FRAMEWORK
In 2025, CAF updated its Sustainable Finance Framework, which received a Second Party Opinion from Moody's, setting out the governance and eligibility criteria for its labelled issuances. The June Blue Bond was issued under that framework, and CAF has pledged to invest USD 2.5 billion by 2030 to support a sustainable blue economy in the region.
CAF counts 23 shareholder countries, mostly in Latin America and the Caribbean, as well as Spain and Portugal.