Barclays has launched its inaugural green structured notes programme, which offers a differentiated green investment opportunity, with the structured note payoff based on a green index.

The proceeds of the notes will be allocated to the financing or re-financing of eligible green activities such as renewable energy, energy efficiency and sustainable transportation loans. The initiative will contribute to achieving the firm’s net-zero ambition and its goal of providing 100 billion sterling pounds (US$135.16 billion) of green financing by 2030, the bank says.

Both the investment and the use of proceeds will be in line with the Sustainable Finance Framework and Green Issuance Framework, and the index is selected in line with the Green Index Selection Principles.

The portfolio of green projects the proceeds will fund will be originated by Barclays Bank in the regular course of business, and will be verified by a third-party verification agent. The programme is now open for trading.

C.S. Venkatakrishnan, head of global markets and co-president of Barclays Bank at Barclays, says: “We continue to see increased client demand for sustainable investment opportunities and today’s launch of Barclays’ green structured notes programme provides clients with a new and innovative opportunity to access the green market. It’s also a terrific step forward in our innovation journey within global markets to offer more compelling and sustainable structured products offerings.”

Sasha Wiggins, group head of public policy and corporate responsibility, adds: “Last year we announced our commitment to align all of our financing to the goals of the Paris Agreement, on the way to achieving our ambition to be a net zero bank by 2050. We also committed to 100 billion pounds of green financing by 2030 and this innovative investment offering to our clients is a new and important part of delivering that commitment in order to help accelerate the global transition to a low-carbon economy.”