Pan Asia Bank partners Swiss-based Symbiotics in green bond issue of $7.75 m

Pan Asia Bank has received a Green Bond worth US$7.75 million ( approximately Rs. 1.5 billion) launched by Swiss-based Symbiotics, the leading market access platform for impact investing.

This is the first green bond issuance by Symbiotics and Pan Asia Bank with the intention of deploying the funds for green financing for its clientele, the local bank said in a media release.

The Green Bond proceeds are in the form of a 4- year, senior unsecured, local currency loan to Pan Asia Bank, and the main investor is Skandinaviska Enskilda Bank (SEB), the leading Nordic banking group.

The bond is the first Green Bond issued via Symbiotics’ sponsored bond issuance platform ( Micro, Small and Medium Enterprises Bonds S.A.) since it’s Sustainability, Social and Green

Bond Framework was certified in December 2019 by DNV GL.

Commenting on this initiative, Director/ CEO of Pan Asia Bank, Nimal Tillekeratne said: “It is indeed an honour to be chosen to partner with Symbiotics in this novel and unique venture to champion the Green cause further in Sri Lanka. Pan Asia Bank has always demonstrated its commitment to further the sustainability cause in Sri Lanka through initiatives such as Green lending through its Social and Environmental Management Systems ( SEMS) policy, appointment of Green champions and investments made in its staff by providing training on green lending. With these funds, we will focus our attention on promoting indigenous crops that will also support the Sri Lankan government’s initiatives to become self- sufficient through strengthening sustainable agricultural practices. We are proud to lead the local banking industry when it comes to the worthy and important cause of sustainability.”

Symbiotics, commenting on the arrangement with Pan Asia Bank, said: “This Green Bond is a confirmation of Symbiotics’ strategy to make Sustainability, Social and Green Bonds accessible for smaller issuances in emerging and frontier markets. The issuance of this Green bond is fully aligned to our mission to foster sustainable development in emerging and frontier economies and we are excited to nurture and grow this segment of the MSME market even further.”

Since 2005, Symbiotics has structured and originated some 4,000 deals for over 450 companies in almost 90 emerging and frontier markets representing more than $5.5 billion.