Project Details
Project
Development Bank of Japan Sustainability Bond, 2018
Client
Development Bank of Japan Inc.
Project Type
Sustainability Bond/Loan
Industry Group
-
Use of Proceeds
-
Location
Japan
Evaluation Date
Aug 2018
Evaluation Summary
Sustainalytics is of the opinion that the Development Bank of Japan Inc. (DBJ) Sustainability Bond Framework, 2018 is credible and impactful and aligns with the four core components of the Green Bond Principles, 2018 and Sustainability Bond Guidelines, 2018. This assessment is based on the following:
USE OF PROCEEDS
The eligible categories for the use of proceeds are aligned with those recognized by the Green Bond Principles and Sustainability Bond Guidelines. While recognizing that the DBJ Sustainability Bond is not exclusively project based, Sustainalytics considers that the range of eligible projects and loans will lead to positive environmental and social impacts and advance the UN Sustainable Development Goals 7, 8, 9, 11 and 13.
PROJECT EVALUATION/SELECTION
DBJ’s Treasury team is responsible for the selection of financial assets that meet the DBJ Sustainability Bond Eligibility Criteria. Additionally, DBJ has developed an exclusionary criteria to ensure that it does not finance potentially controversial activities. DBJ’s internal process in evaluating and selecting projects is in line with market practice.
MANAGEMENT OF PROCEEDS
DBJ will deposit and record bond proceeds separately, in an internal management system, which ensures monitoring and tracking of the use of proceeds. DBJ’s processes to manage and track proceeds are in line with market practice.
REPORTING
DBJ has committed to publish an annual report on its website with updates on the allocation of proceeds, estimated share of financing or refinancing, and amount of unallocated proceeds. Impact reporting will include relevant key performance indicators, where feasible, as aligned with market practice.