BDO UNIBANK, Inc. has expanded its sustainable financing framework (SFF) to fund more environmental, social, and governance-themed projects, it said on Tuesday.
The lender has included gender financing and 19 additional eligible categories under green, blue, orange and social financing in its sustainable financing framework, the Sy-led bank said in a statement.
“The expanded SFF will allow BDO to finance more projects with high economic, environmental and social benefits through its bond issuances, contributing to ecological sustainability, ocean, health, community development and women’s empowerment,” it said.
The projects that can be financed under the expanded framework will be aligned with international and local bond principles, guidelines and taxonomies, as well as the United Nations Sustainable Development Goals, BDO said.
The bank also received an updated Second Party Opinion (SPO) from Morningstar Sustainalytics affirming its expanded sustainable finance framework.
“The SPO aligns with the 2021 Sustainability Bond Guidelines and Green Bond Principles. It is also in line with the 2023 Social Bond and Loan Principles, and Green and Social Loan Principles, as well as the 2018 ASEAN Sustainability, Social and Green Bond Standards,” BDO said.
In July, the bank raised P55.7 billion from its third issuance of peso-denominated ASEAN Sustainability Bonds, well above the initial target of P5 billion.
The one-and-a-half-year notes carry a coupon rate of 6.325% per annum.
The net proceeds of the issuance will be used to finance and/or refinance eligible assets as defined in the bank’s sustainable finance framework and to diversify its funding sources, BDO earlier said.
“The bank’s previous ASEAN Sustainability Bond issuances have both set records as the largest issuance for any Philippine financial institution or company at P52.7 billion in 2022, and at P63.3 billion in January 2024,” the listed lender added.
BDO saw its net profit rise by 11.98% year on year to P20.94 billion in the second quarter amid continued growth in its core businesses and higher fee income.
Its shares closed unchanged at P152.80 apiece on Tuesday. — A.M.C. Sy
