The London branch of the Industrial and Commercial Bank of China (ICBC) recently received a Green Bond Pioneer Award (GBPA) for “Largest Emerging Market Certified Climate Bond” of 2018, awarded by the Climate Bonds Initiative (CBI).

CBI’s GBPA is a globally recognized symbol of innovation and achievement in green finance and green bond market development.

ICBC London was recognized for its efforts in promoting best practice in alignment with its sustainability strategy, and a highly successful inaugural issuance of $1.58 billion equivalent green bonds certified by the Climate Bonds Initiative. The bond was priced at the tightest level ever achieved by ICBC in USD and EUR and was the largest ever green bond listed on the London Stock Exchange. The record-breaking size and international listing demonstrated ICBC’s confidence in the global green bond market and credence in London’s position as a leading international centre for sustainable finance.

Sean Kidney, CEO of Climate Bonds Initiative, explained, “ICBC, the world’s biggest bank, demonstrated global leadership and best practice coming to market with 2018’s largest Certified Climate Bond from an emerging market.

This issuance had various pioneering qualities, but most importantly it was a pointer for international investors to the enormous green opportunities in China and many other emerging economies. We congratulate ICBC for its climate finance initiatives.”

Mr. Ruixiang Han, General Manager of ICBC (London) Branch and CEO of ICBC (London) Plc said, "We are honored and proud to have received this award acknowledging our ongoing commitment to sustainable finance. As the largest bank in the world, ICBC recognizes the great responsibility that comes with that position and cherishes the opportunity we have to lead, grow and innovate in this field.

This bond, issued by the Chinese Bank, launched out of London and underpinned by investments across the world, illustrates the global nature of our sustainable funding program. We look forward to working with our partners and investors to enhance our green offering as a core part of our responsible banking program."

This CBI recognition marks a unique and historic day in the efforts of ICBC Group in tackling climate change. As the largest bank in the world, ICBC has been an active advocate of green finance both in China and overseas, with a strong social and environmental commitment. ICBC is the first Chinese bank to establish an ESG-based green rating system; the first Chinese commercial bank to join the UN Global Compact; and one of the leading banks to carry out Environmental Factor Stress Test Research.

Notably, ICBC has aligned its Green Bond Framework with both international and Chinese standards, becoming the first Chinese bank to receive a “Dark Green” rating from the Centre for International Climate and Environmental Research (CICERO), the highest score on the CICERO scale. This CBI Pioneer Award granted to the London branch further reinforces ICBC’s re-emergence in the global green finance market and highlights its sustainable banking values and investors’ increasing interest both in this asset class and in China's sustainable growth.

The Climate Bonds Green Bond Pioneer Awards are acknowledged as the leading international recognition for issuers, regulators and service providers that have played a pivotal role in growing green bonds and green finance markets throughout the past year. As a pioneer issuer, ICBC provided a positive example to encourage other Chinese actors and other EM countries to step up and consistently pursue climate action. (Tianxing Bai)