Woori Bank Successfully Issues 300 Billion KRW ESG Bonds to Support Small Businesses and Others

[Asia Economy Reporter Kim Hyo-jin] Woori Bank announced on the 6th that it has issued 300 billion KRW worth of won-denominated ESG bonds (sustainability bonds) with a 3-year maturity and a fixed interest rate of 1.01% to be used for financial support for small business owners and SMEs struggling due to the novel coronavirus infection (COVID-19).

ESG bonds are bonds issued to raise funds aimed at improving environmental, social, and governance factors. Woori Bank issues ESG bonds to support socially vulnerable groups, job creation, renewable energy development, and environmental improvement projects.

Issuing ESG bonds requires a strict international certification process. Woori Bank explained, "Through thorough preparation, we established an internal management system that meets the guidelines of the International Capital Market Association (ICMA) and obtained a verification report from Sustainalytics, a global ESG research firm based in the Netherlands, in February last year."

Meanwhile, Woori Bank is recognized as a leader in the domestic ESG bond issuance sector, having started with the issuance of 250 billion KRW worth of won-denominated ESG bonds in February last year?the first among domestic commercial banks?successfully issued USD 450 million in May, and issued 250 billion KRW and 200 billion KRW in March and July of this year, respectively.

A Woori Bank official said, "This sustainability bond was issued to help small business owners and SMEs overcome the current situation amid the prolonged COVID-19 pandemic," adding, "Going forward, Woori Bank will continue to support eco-friendly and social value creation projects and strive to fulfill its social responsibility in finance."

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