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Chile has become the first country to release a SLB Bond
3/8/2022 ~ 1:29:48 PM

Chile have issued a new USD$2bn 20-year sustainability-linked bond (SLB), the first Sovereign to do so. Unlike green bonds, the proceeds of SLBs are not segregated for use towards specific green or sustainable projects, but instead the payout to investors depends on whether the issuer meets agreed-upon KPIs. The KPIs attached to Chile's SLB are related to their annual greenhouse gas emissions and renewable energy generation.

On the Integrum ESG Sovereign Dashboard, compared to its Latin America & Caribbean peers, Chile ranks no1 on overall ESG and sits within the top 3 on Social and Governance. However, the country is 7th on Environmental issues, due to factors such as water stress, waste and % of power coming from renewable sources

Country
ESG Score
Environmental Score
Social Score
Governance Score
Chile
2.82
2.18
3.02
3.04
Uruguay
2.79
1.99
3.03
3.07
Costa Rica
2.73
1.79
2.7
3.21
Argentina
2.45
2.31
2.66
2.43
Peru
2.41
2.32
2.52
2.39
Jamaica
2.39
1.79
2.28
2.75
Trinidad and Tobago
2.37
1.56
2.86
2.54
Mexico
2.37
2.28
2.72
2.25
Ecuador
2.3
2.38
2.73
2.04
Brazil
2.23
2.53
2.45
1.96
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