BNY Mellon to service Ontario’s green bond

BNY Mellon has been appointed fiscal agent, registrar, principal paying agent and transfer agent by the Province of Ontario for the issuance of its first green bond.

The proceeds of Ontario’s green bond program will be used to finance projects with specific environmental benefits throughout the province that align with its Green Bond Framework.

Read: Strong demand for Ontario’s green bonds

The initial green bond, a $500-million issuance, will fund the Eglinton Crosstown light rail transit project in Toronto.

“We’ve seen increasing demand for investment vehicles like green bonds as more investors seek investment options that allow them to build a strategy around their social and environmental values,” says Sonia Chaliha, head of sales and relationship management for Latin America and Canada for BNY Mellon Corporate Trust. “It’s been estimated that green bonds may account for 10% to 15% of global bond issuance in the next five to seven years.”

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