Shinhan Card Issues 100 Billion KRW ESG Bonds to Support COVID-19 Response

First in the Industry to Issue Social Bonds for COVID-19 Support
Interest Rate at 1.51%

[Asia Economy Reporter Ki Ha-young] Shinhan Card has become the first in the industry to issue ESG (Environmental, Social and Governance) bonds for financial support related to the novel coronavirus infection (COVID-19).

On the 27th, Shinhan Card announced that it successfully issued ESG bonds worth 100 billion KRW to support financially vulnerable groups including customers affected by COVID-19 and to revitalize the economy.

The ESG bonds issued by Shinhan Card are special purpose bonds emphasizing public interest such as environment, society, and governance. They are issued to raise funds to increase social value, support vulnerable groups, create jobs, improve the environment, and develop renewable energy. The funds raised through this bond issuance will be used for support programs related to COVID-19 assistance.

Underwritten by SK Securities, the ESG bonds were issued with a total of 100 billion KRW at an average interest rate of 1.51%, consisting of 50 billion KRW with a 3-year maturity and 50 billion KRW with a 5-year maturity.

Shinhan Card plans to utilize the funds raised this time for social and economic values such as supporting customers affected by COVID-19, thereby establishing itself as a corporate citizen fulfilling social responsibility.

A Shinhan Card official said, "The issuance of these ESG bonds is meaningful as the industry's first social bond for COVID-19 support," adding, "Based on the funds raised this time, we will continuously make efforts to support affected customers and revitalize the economy by utilizing Shinhan Card's big data and digital channels."