India Debuts in Green Bond Market with Rs 8,000 crore Issue

India's 1st Green Bond Issue to Go on Auction from Jan 25, 2023. Read Top Details Here

India's maiden tranche of sovereign green bonds will be worth Rs 8,000 cr. This includes Rs 4,000 cr of 5-year green bonds and Rs 4,000 cr of 10-year green bonds.

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Besides the sale that starts on Jan 25, 2023, the central government will auction Rs. 8,000 cr worth of green bonds on February 9, taking total issuance in FY23 to Rs 16,000 crore.

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For the current fiscal ending March 31, the government plans to raise Rs. 160 billion through green bonds.

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The RBI will auction Rs. 40 billion each of 5-year and 10-year green bonds. The government's 5-year 7.38% 2027 bond yield is 7.16% and 10-year bond yield was 7.35%.

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The proceeds from green bonds issue will be used for 'green' projects like solar power, wind and other hydro projects that help reduce the economy's carbon footprint.

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