IsDB partners with Japan’s Government Pension Investment Fund (GPIF) for advancing Sustainable and Green Sukuk markets

The Islamic Development Bank (IsDB) has partnered with Japan’s Government Pension Investment Fund (GPIF) to support further development of the Sustainable and Green Sukuk markets in its pursuit towards achieving the Sustainable Development Goals (SDGs) in its 57 Member Countries (MCs).

With IsDB significantly increasing its focus on sustainable finance and stronger Environmental, Social and Governance (ESG) integration into its projects’ financing, the landmark collaboration was inked as IsDB prepares to issue its first-ever Green Sukuk in the global capital markets.

The partnership is in line with the IsDB President 5-Year Program (P5P), which calls for inclusive development in its MCs. This presents a unique opportunity for the asset managers of GPIF to explore Green, Social and Sustainable investments with a focus on climate mitigation and adaptation, poverty alleviation and women and youth development in the MCs.

Dr. Zamir Iqbal, Vice President and CFO of IsDB, stated: “This partnership with the GPIF reaffirms our commitment to provide opportunities for Socially Responsible Investments (SRI) and ESG investors like GPIF to deliver sustainable development to our member countries through Green and responsible finance. IsDB lauds the pathbreaking efforts of GPIF for their contribution to development of our Member Countries.”

Dr. Yasser Gado, IsDB Treasurer, said that “GPIF is the world’s largest pension fund in terms of Assets under Management (AuM) and it strongly promotes sustainable investments. In this context, IsDB is a natural partner for this initiative that will catalyze investments into the ESG fixed-income space and further develop the SRI markets.”

The Green Sukuk of IsDB is being launched based on its recently created Sustainable Finance Framework, which is aligned with the International Capital Market Association’s Green Bond Principles, Social Bond Principles, and the Sustainability Bond Guidelines.

Original source: IsDB
Published on 28 November 2019