KB Kookmin Bank Issues 400 Billion KRW ESG Bonds to Support COVID-19 Affected Companies

[Asia Economy Reporter Kangwook Cho] KB Kookmin Bank announced on the 5th that it successfully issued ESG bonds worth 400 billion KRW on the 3rd to support companies affected by the novel coronavirus disease (COVID-19) crisis.

This bond was issued as a social bond for the purpose of supporting COVID-19 affected companies as part of KB Kookmin Bank's ESG management. The issuance scale is 400 billion KRW with a maturity of one year. The issuance interest rate was set at 1.15%, which is 7 basis points lower than the AAA bank bond average on the 2nd (1.22%), confirming high investor interest in ESG bonds.

Since February, KB Kookmin Bank has provided approximately 1.5 trillion KRW in funds to companies affected by COVID-19. The funds raised this time will also be used to support companies affected by COVID-19.

A KB Kookmin Bank official said, "We raised the necessary funds to support social projects such as loan support for small and medium-sized enterprises struggling due to COVID-19," adding, "We will continue efforts to select and support projects related to eco-friendly and social business sectors."

Meanwhile, KB Kookmin Bank obtained certification for sustainable bond issuance from the global certification firm Sustainalytics in 2018, and in October 2018, it issued the first sustainable foreign currency senior bond among domestic commercial banks. Subsequently, in February and July 2019, it also issued the first sustainable foreign currency subordinated bond and foreign currency hybrid capital securities in Korea, respectively.

This content was produced with the assistance of AI translation services.