In 2020, to align its 100% Paris Agreement and 100% Social Link commitments with its presence on the markets, the AFD group implemented a bond issuance framework aligned with the Sustainable Development Goals (SDGs). Since then, more than 17 billion euros equivalent have been issued in this format, helping to finance projects with the greatest environmental and social impacts, in favor of the most vulnerable communities.
In 2024, the AFD group updated its SDG bond issuance framework, meeting five main objectives:
- Align the framework with the group’s new strategic objectives;
- Simplify eligibility criteria and integrate new market orientations;
- Increase the pool of eligible loans while remaining strict on the criteria (in particular by integrating overseas loans, while strengthening the eligibility criteria for public policy budget financing);
- Reflect the evolution of internal processes (standardization of sustainable development analysis at AFD and Proparco level, cornerstone of the framework)
- Reaffirm the AFD Group’s contribution to a just transition.
Loans will continue to be selected according to their contribution to the SDGs, with the framework taking into account the interrelationships between the SDGs according to the principle of “Do not significant harm” in order to retain only loans with a positive or neutral rating on each of the dimensions of Sustainable Development analysis.
The new issuance framework is aligned with the Green Bond Principles, the Social Bond Principles as well as the ICMA Sustainability Bond Guidelines.
It was rated by Moody’s Ratings.
Belgium
