“Hungary is the first country in the European Union to have issued a green bond” Minister of Finance Mihály Varga announced in a video posted to his Facebook page.

“The resources generated through sales of the 1.5 billion euros worth of 15-year securities can only be applied to ‘green’ investment projects”, the Minister highlighted. “Through issuing the security we have sent a clear message to markets concerning Hungary’s commitment to the environment”, he emphasised.

“The green bond, which has been issued in euros, is the first step towards a new group of investors”, Mr. Varga underlined, adding: “The fact that investors have submitted offers worth a total of almost 7.7 billion euros for the first Hungarian green bond indicates that they remain confident in Hungary and in Hungarian economic policy”.

“The government measures introduced in the interests of rebooting the economy are in harmony with the goals set out prior to the coronavirus epidemic”, the Minister explained, adding that the green bond is a government security, the resources of which must be certified as having been used for environmental and climate protection sustainability goals. As he explained, “We will be spending the capital generated to finance projects that are in harmony with Hungary’s climate strategy”. According to the Minister of Finance’s announcement, such projects may, for instance, include investment projects relating to transport that results in a lower emission of greenhouse gases, the sustainable use and protection of lakes and rivers, the reduction of waste, or the protection of healthy ecosystems.

(Ministry of Finance / MTI)