Philippine Central Bank Doubles Green Bond Investment

(Bloomberg) -- The Philippine central bank has more than doubled its green bond holdings in a sign that debt used to fund environmental and social projects is gaining popularity among emerging-market policy makers.

Governor Benjamin Diokno on Thursday said the bank has invested $200 million in green bonds this year, after placing an initial $150 million in 2019.

“Investing in green bonds provides diversification benefits,” Diokno said in a virtual briefing, citing lower correlations to other fixed income assets. “The reason for additional allocation was the growing significance of sustainability assets in the investment landscape.”

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The Philippine central bank will continue to assess developments in financial markets and in the area of environmental, social and corporate governance for future investment opportunities, he said.

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