The structured green product for Samunnati in India wins the most innovative bond award for the second consecutive year.
Symbiotics’ green bond, structured in July 2021 for Samunnati Financial Intermediation & Services (Samunnati) in India, received the Most Innovative Product Award in the Bond Structure (Green Bond) category at the 2022 Environmental Finance Awards.
“We are proud to have won Environmental Finance’s Most Innovative Green Bond award for the second consecutive year. This award is a testament to the uniqueness of our bond issuance platform, with its sustainable bond framework, which helps our partner financial institutions develop environmentally friendly practices and pave the way for bolder ecological impact. We are particularly pleased that this award crowns our partnership with Samunnati, which supports smallholder farmers through climate-responsible agriculture in 18 Indian states,” said Daniel Schriber, Head of Investments at Symbiotics.
The three-year bond allows disadvantaged smallholders and agricultural enterprises to access finance. Samunnati is committed to developing the share of sustainable credit which represented, in 2021, 23% of its total loan portfolio. This portfolio encompasses the financing of suitable inputs and crops resistant to climate change as well as sustainable agricultural practices. Samunnati’s green loans follow the Climate Bond Initiative categorization, in line with the Green Bond Principles for Climate-Smart Agriculture.
This award demonstrates that it is possible to issue green, social and sustainable bonds at scale through our bond platform, based in Luxembourg, for very small enterprises (VSEs) and small or medium-sized enterprises (SMEs) .
Symbiotics bond issuance is innovative because our solution makes green bonds affordable for mid-sized non-bank financial institutions in emerging and developing countries with emissions below global averages. While most issuers focus on hard currency bonds in developed countries, Symbiotics innovates by offering sustainable bonds (denominated in local currency) in emerging and developing markets.
In doing so, we encourage the inclusion of green finance in underdeveloped regions where growth is strongest. Samunnati, like most of the companies we invest in, is a leading social and environmental player, providing loan solutions and meeting the technical needs of low-income entrepreneurs and farmers at the local level. Since 2019, Symbiotics has issued 23 sustainability bonds for a total value of $300 million.