Banking & Finance Rakbank plans first bond to fund social projects By Pramod Kumar July 19, 2024, 4:02 AM Rakbank/X Rakbank has invited bids for its five-year benchmark-sized dollar-denominated bond The National Bank of Ras Al Khaimah (Rakbank) is planning to launch its first social bond issuance, a news report has said. The Abu Dhabi-listed bank is seeking bids for the five-year benchmark-sized dollar-denominated bond, Reuters reported. The initial price was set at 170 basis points over US Treasuries, with the final pricing expected on confirmed this week. The bonds fall under Rakbank’s $2 billion euro medium-term note programme launched last year. The funds will be used for eligible social projects, the news report said. In 2023 the bank announced its social finance framework, which allows it to issue social finance instruments to finance and refinance eligible social projects in the healthcare sector and fund micro to small entities to generate employment. In its most recent financial statements Rakbank reported Q1 net profit rose 27.5 percent to AED574.2 million ($156 million). Profit after tax for 2023 surged 53 percent to AED1.78 billion. Register now: It’s easy and free AGBI registered members can access even more of our unique analysis and perspective on business and economics in the Middle East. Why sign uP Exclusive weekly email from our editor-in-chief Personalised weekly emails for your preferred industry sectors Read and download our insight packed white papers Access to our mobile app Prioritised access to live events Register for free Already registered? Sign in I’ll register later
