Europe will be a global centrepiece of ‘green growth’, driven by the €800bn Next Generation EU borrowing facility geared to sustainable economics and digitalisation, according to Johannes Hahn, European budget commissioner. That was a key message from a one-day Singapore conference on 19 July, organised by OMFIF and the European Commission.
The conference, featuring banks, official institutions and asset managers from Asia, Europe and the US, marked the kick-off of a four-nation Asian tour by Hahn and colleagues, showcasing the largest debut bond market offering in international capital market history.
The EU bonds issued so far have been sold to 1,000 institutions in 70 countries. A particular feature likely to appeal to investors is that proceeds are geared to targeted plans for improving post-Covid economies in all 27 countries.
Disbursement is dependent on countries meeting specific objectives for economic reforms and effective spending on growth-enhancing projects. The conference was supported by BNP Paribas, Deutsche Bank, DZ Bank, JP Morgan and TD Securities.