The Experience of Structuring Bank Blue Bonds in Latin America and the Caribbean

IDB Invest has published a document outlining the regional context, methodologies employed, and the lessons learned in the process of designing, structuring, validating, and issuing thematic blue bonds. The publication is based on the experience of structuring blue bonds issued by Banco Bolivariano of Ecuador and Banco Nacional of Costa Rica, in which IDB Invest acted as anchor investor and mobilized additional investors.

The lessons learned aim to encourage and accelerate future blue finance initiatives that will allow for scaling up these instruments in the debt market. Key recommendations and strategies for future blue initiatives include: i) sustainable placement and financing strategy; ii) continuous training of senior management and operational teams; iii) strengthening of multidisciplinary teams; iv) strategic communication between departments; v) awareness and training programs; vi) expert advice and automation; vii) senior management commitment and teamwork; and viii) disclosure of metrics and impacts.