The Council of Europe Development Bank (CEB) has issued a new USD 1 billion three-year global Social Inclusion Bond (SIB) whose proceeds will be primarily used to support Ukrainian refugees hosted by CEB member countries.
This transaction follows a € 1 billion seven-year social inclusion bond that the CEB issued in early April 2022 to bolster its response to the social crisis unfolding due to the war in Ukraine and to help its member states assist millions of refugees seeking safety.
“The new social inclusion bond will enable us to expand assistance to our member states that are hosting millions of displaced persons from Ukraine,” said CEB Governor Carlo Monticelli. “Its proceeds will be used to address the most urgent needs of refugees and their host communities.”
In line with CEB’s updated Social Inclusion Bond Framework and its commitment to provide flexible, fast-disbursing loans to address the significant financial needs of CEB member countries that are receiving large inflows of Ukrainian refugees, the proceeds raised through this social inclusion bond will be used to fund eligible social loans in one or several sectors of action:
- Social housing for low-income persons;
- Education and vocational training;
- Health and social care;
- Support MSMEs for the creation and preservation of jobs.
Acting on its mandate to promote social cohesion and integration in Europe, and to aid refugees, migrants, and displaced persons, the CEB was the first multilateral development bank to disburse grants to provide immediate assistance to refugees from Ukraine.
Thanks to past experience and the track record of its Migrant and Refugee Fund (MRF), the Bank was able to promptly respond to the urgent needs of Ukrainian refugees on the ground. Just recently it has approved €980 million in new loans to support CEB member countries in dealing with the humanitarian emergency caused by the war in Ukraine.
The CEB has been issuing social inclusion bonds since 2017 and this transaction represents the ninth such benchmark from the borrower and the third such transaction to be issued in USD.
See also: 🔴 LIVE UPDATES | Humanitarian response to Ukraine crisis