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- First utility-led green bond gets backing
First utility-led green bond gets backing
Source: GuarantCo
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GuarantCo, a development finance company, is injecting a $50 million guarantee into Senelec’s $213 million securitised green bond, first launched in October. The backing strengthens Africa’s first utility-led green bond and will help deliver 585 MW of solar and 329 MW of battery storage, improving electricity reliability for 1.8 million people.
By stepping in, GuarantCo effectively de-risks the bond for new investors and improves the utility’s price competitiveness for future market issuances.
Green bonds are gaining traction among banks and energy players. Earlier this month, ZANACO announced plans for Zambia’s first sustainability bond, aiming to raise $100 million for renewable and climate-resilient investments.
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