Bank of Baroda Green Infrastructure Bonds: ₹10,000 Crore Raised
Why in the news
Bank of Baroda mobilised ₹10,000 crore through green bonds for infrastructure, a first among Indian banks in the domestic market.
| Term | Detail |
|---|---|
| Amount | ₹10,000 crore (base ₹5,000 crore plus ₹5,000 crore greenshoe) |
| Cut-off coupon | 7.1% per annum |
| Tenure | 7 years |
| Platform | NSE Electronic Book Provider, Mumbai |
| Ratings | AAA (Stable): CARE Ratings, ICRA |
About green bonds
- A green bond is a fixed-income tool whose proceeds fund climate- or environment-friendly projects.
- Greenium: strong demand let these bonds price at a slightly lower yield.
Exam angle
- Funds go to renewable energy and sustainable infrastructure under BoB’s Green Financing Framework.
- Pricing benefit: greenium.