Arion Bank issues green bonds in Icelandic krónur

On 16 December 2021 Arion Bank completed an offering of green bonds in a new series ARION 26 1222 GB in the amount of ISK 3,640 million. It is the Bank’s first ISK-denominated green bond issue, although it has previously issued green bonds in euros. The offering attracted a positive response from investors and the bonds were sold in a private placement to a broad group of Icelandic investors.

The bonds are 5-year instruments and pay fixed interest of 4.70% annually. Principal is repaid in a single payment at maturity in 2026. The bonds were issued under the Bank’s green financing framework. The framework sets out clearly and transparently the conditions which the Bank’s loans need to meet in order to be considered green.

For further information see here.