Hellenic Bank has rolled out a Sustainable Financing Framework, as part of its commitment to support the economy's transition to sustainability as it seeks to bring a long-term positive impact for people and the environment, a press release issued by the Bank said.

The Bank noted that issuing these bonds underlines the Bank's commitment to playing a part in the provision of green, social and sustainable financing - necessary to transform the economy. "Being one of the main financiers of the Cypriot economy, through the issuance of sustainable bonds the Bank will support its customers, businesses and households to achieve their environmental and sustainability targets", it stated.

The deployment of the Sustainable Financing Framework is part of the Bank's ESG Strategy and signals the way in which the Bank intends to make available the funds raised from the bonds - a prerequisite for the future issuance of green, sustainable and social impact bonds.

Specifically, the funds raised will be used for sustainable financing, making a positive contribution to the environment and people. The framework was designed according to the Green Bond Principles, the Social Bond Principles and the Sustainability Bond Guidelines of the International Capital Market Association (ICMA).

According to the Bank, the proceeds from the issuance will go towards financing sustainable projects relating to renewable energy, green buildings financing and energy efficiency improvements, clean transportation, healthcare, and financing small-to-medium-sized enterprises to support employment generation.

"This commitment of ours is also reflected in the Bank's 2022 ESG Impact Report, which is compiled according to the guidelines of the Global Reporting Initiative and reflects Hellenic's ESG Strategy", the Bank noted.

"Transitioning to a more sustainable economy entails both risks and opportunities. That is why the Bank has adopted a strategic approach to sustainability and ESG", it continued, noting that the main drivers in shaping the Bank's ESG Strategy included European and local strategies, the competitive environment, the evolving regulatory framework and the sustainability materiality assessment.

The ESG Strategy that emerged stands on four pillars: net zero Bank; workforce of the future; resilience and performance and a sustainable ecosystem.