Korea Development Bank Issues 500 Billion KRW Korean-Style Green Bonds

Record Largest Issuance Scale in Banking Sector
"Continuous Market Leadership as a Leading Domestic Green Bond Institution"

On the 10th, the creditor meeting of Taeyoung Construction was held at the headquarters of the Korea Development Bank in Yeouido, Seoul. Photo by Younghan Heo younghan@

Industrial Bank of Korea announced on the 21st that it has issued Korean-style green bonds to expand support for eco-friendly business funds and revitalize the Korean green bond market. The total issuance amount is 500 billion KRW, with a maturity of 2 years and an interest rate of 3.54%.

This bond was issued in compliance with the Korean green bond guidelines set by the Ministry of Environment and the Financial Services Commission. It is the largest issuance scale ever by banking standards. The raised funds will be used to support green finance in areas such as secondary battery material industry, eco-friendly transportation, and resource circulation, which have obtained verification of conformity with the Korean green classification system. The usage details and environmental improvement contributions will be reviewed by NICE Credit Rating until the funds are fully utilized and disclosed on the website.

Since issuing the first domestic KRW green bond (300 billion KRW) in 2018, Industrial Bank of Korea has issued the first domestic green structured bond (30 billion KRW) and the largest green bonds in the financial sector. The cumulative issuance amount is 2.13 trillion KRW.

Industrial Bank of Korea stated, “We will continue to actively issue green bonds and take the lead in promoting green finance to respond to climate change and achieve carbon neutrality as a leading domestic policy financial institution.”