State receives €11.3bn of orders for first green bonds
The National Treasury Management Agency (NTMA) received about €11.3 billion of orders from investors seeking to buy the Republic’s set of green bonds.
The €3 billion of 12-year bonds on offer were priced yesterday to carry a market interest rate, or yield, of 1.399 per cent.
The funds will be used to finance eligible projects such as sustainable water and waste management, clean transportation and renewable energy deals, as the National Development Plan targets €23 billion of spending on green energy schemes over the next decade.
The transaction brings the NTMA’s long-term fundraising so far this year to €16.5 billion, compared to its stated target of between €14 billion and €18 billion.
Overseas banks Barclays, BNP Paribas, Citigroup, Danske Bank, HSBC and JP Morgan shared an estimated €6 million in fees from the deal, as Irish brokerages were overlooked for the first time in decades on an Irish government bond sale.