Brazil issues green bonds to meet environmental goals

Brazil's Treasury has announced the launch of its first sustainable sovereign bonds on the global market, in a bid to demonstrate the government's dedication to environmentally responsible policies. The ESG-linked bonds, due in 2031 and denominated in dollars, will be issued with the results to be revealed by the end of Monday. This is reported by Reuters.

In late August, the executive secretary of Brazil's Finance Ministry, Dario Durigan, announced that the government was planning to issue approximately $2 billion to fund President Luiz Inacio Lula da Silva's ambitious environmental transition plan. The proceeds from the operation are anticipated to mainly support the Climate Fund managed by the state development bank BNDES.

President Lula, who assumed office in January, has been actively working to enhance Brazil's environmental performance. His green initiative also includes the creation of a regulated carbon credit market as part of a broader effort to attract investment to Latin America's largest economy.