Earlier this year, NMB Bank in Tanzania, wrote an important chapter in sustainable finance history when it issued the first social bond by an East African financial institution. The bond, which was heavily oversubscribed, raised TZS 74bn (about USD 30mn) against the originally anticipated TZS 25bn target (about USD 10mn). It broke further barriers in April 2022 when it became the first ever social bond to list on a Sub-Sahara African bond exchange.
The bond demonstrates NMB’s commitment to socioeconomic empowerment and the United Nations’ Sustainable Development Goals (SDGs) relating to Gender Equality (SDG 5) and Reduced Inequalities (SDG 10).
The aim of issuing the bond was to diversify the bank’s funding base to finance the Jasiri Women’s Proposition for the bank. The net proceeds for the bond will primarily go to finance micro and small medium enterprises (MSMEs) owned or led by women and those businesses whose products and services directly impact women.
To read more on this initiative click here.
