Sun Life PH invests in IFC’s Mabuhay Green Bonds

Leading insurer Sun Life of Canada Philippines Inc. has invested an initial P500 million in the pioneering Philippine peso-denominated Mabuhay Green Bonds issued by International Finance Corp., the private sector financing arm of the World Bank group.

This bond issuance has set a precedent as the first green bond denominated in peso that was issued by a multilateral development institution.

“The Mabuhay Green Bonds are the first of its kind in the Philippines and Sun Life is proud to make its first investment with these bonds as we strengthen our commitment in supporting sustainability projects,” Michael Gerard Enriquez, chief investments officer at Sun Life Philippines, said in a press statement.

Sun Life Philippines CEO and country head Benedict Sison lauded the issuance of IFC’s Mabuhay Bonds, which he deemed as a vehicle that could help improve generation output of geothermal power plants and address climate change.

“As a company, we continue to look for opportunities to be able to participate more in infrastructure financing. This is one opportunity that we have sought to participate in and one that would definitely impact on our efforts to be a vital contributor to nation-building,” Sison said.

IFC is set to use the net proceeds from this issuance to lend to eligible IFC climate projects that aim to finance sustainable economic growth in developing countries, investing exclusively in renewable energy, energy efficiency, and other climate-smart projects in accordance with green bond principles.

Established in 1956 as a member of the World Bank Group, IFC is the largest global development institution focused on financing private sector investments in developing countries. It is one of the world’s largest and earliest issuers of green bonds, having issued a total of 109 green bonds amounting to $7.5 billion across 12 currencies.