Sustainability Bond BRI 2019
BRI issued a Sustainability Bond in March 2019 which was regarded as the first environmentally friendly bond in Indonesia. The largest Sustainability Bond offering in Southeast Asia is one of the real contributions of BRI’s role in carrying out sustainable business activities. The issuance of BRI’s Sustainability Bonds has complied with the ASEAN Sustainability Bond Standards (ASEAN SUS) with a nominal value of US$500 million and a tenor of five years.
All funds received are subject to the obligation to support the financing of various projects related to the achievement of sustainability goals. As of December 2022, the proceeds from the issuance of Sustainability Bonds have been fully utilized with a composition of 31% used for green projects and 69% used for social projects.
Use of Proceed
As of December 2022, the proceeds from the issuance of Sustainability Bonds have been fully utilized with a composition of 31% used for green projects and 69% used for social projects (Micro Loan), which are KUPEDES (Commercial Micro Loan), KUR (People's Business Loan), KPRS (Subsidized Mortgage Loans). Meanwhile, loans that have been paid off are reallocated by BRI to the social sector as well, which are Micro Loans & KMK Tangguh (SME Loans).
Existing Accounts
Fund Reallocation
Second-Party Opinion for Sustainability Bond Framework
“BRI’s Sustainability Bond Framework is credible and impactful”
Maturity, Coupon & Rating
Maturity & Coupon
5 years
(3.95%)
Rating
Baa2 (Moody’s)
BBB-(Fitch)
Green Bond BRI 2022
In the reporting period of December 31 2022, BRI allocated 100% of the proceeds from the issuance of BRI Phase I Green Bonds I Year 2022. The funds obtained are intended to refinance several projects that are already in BRI’s financing portfolio and have environmental and social benefits. The details of the allocation are as follows:
Use of Proceed
80% Green financing and/or green refinancing for 11 eligible sectors based on POJK 60/2017.
20% Other e.g. ultra micro, micro and MSMEs
Second-Party Opinion for Green Bond Framework
- Established on 29 April 2019 by Bappenas
- Official representative of UN Sustainable Development Solution Network
Score
5.0
Environmentally Friendly / Sustainable
Ramah Lingkungan / Berkelanjutan
Scoring Indicator
| Score | Category |
|---|---|
| > 4 - 6 | Environmentally Friendy / Sustainable |
| > 1 - 4 | Towards Environmentally Friendy / Towards Sustainability |
| ≤ 0 | Not Environmentally Friendy / Not Sustainable |
Maturity, Coupon & Rating
Maturity & Coupon
370 days
(3.70%)
Serie A
3 years
(5.75%)
Serie B
5 years
(6.45%)
Serie C
Rating
idAAA (Pefindo)
