In Indonesia, Poverty-Environment Action (PEA) project continues to provide support in 2020 on the government’s green sukuk initiatives, including development of second impact report that was published in early March 2020. (https://www.djppr.kemenkeu.go.id/page/load/2357). The report aims to deliver the transparency and accountability on the use of proceeds of the issuance.
“The Green Sukuk is a successful collaborative national effort to address climate change. It utilizes the results of climate budget tagging mechanism and channels investments towards and across green sectors with most climate change impacts and in accordance to our Green Bond and Green Sukuk Framework.
The appreciation from investors for the Green Sukuk issuance in 2018 has encouraged the Government to make further commitments to sustainable finance. In 2019, the sovereign green sukuk was issued twice in the global institutional market and in the domestic retail market respectively. We are proud that the issuance in the domestic retail market marks another milestone as the first green sukuk retail in the world. We are also delighted that the initiative has brought eight awards in total by the global community including Best ESG Deal from Finance Asia.
This report is the second annual green sukuk allocation and impact report, representing the government’s commitment to full transparency and accountability on the management and use of proceeds. The report reflects our continued effort to align sectors towards green growth and maintain GoI’s credibility as a government committed to creating a low carbon, climate resilient economy” - H.E Sri Mulyani Indrawati, Minister of Finance of the Republic of Indonesia