CIF capital markets mechanism raises $500m with inaugural bond

The Climate Investment Funds (CIF) capital markets mechanism (CCMM) raised $500m through its debut bond, marking a historic step in mobilising finance for climate action. The bond was six times oversubscribed, attracting over $3bn in global investor interest.

This inaugural bond, part of CCMM’s borrowing programme launched at COP29 in November 2024, aims to scale up clean technology and infrastructure projects in developing countries. 

Final pricing was set at +36.6 basis points over the three-year US Treasury, resulting in a yield of 4.838% and a re-offer price of 99.757%.

CCMM focuses on low-carbon technologies, including renewable energy, energy efficiency, and sustainable transport. It supports CIF’s Clean Technology Fund (CTF)-funded operations, to address the financing gap for energy transitions.

The World Bank serves as the treasury manager for CCMM, with a focus on mobilising private capital for clean energy projects in emerging economies.