The Mozambique Stock Exchange (BVM) is on its way to a historic milestone with preparations for the first issue of 'green bonds'. This important step, expected to take place as soon as the necessary legislation is approved later this year, represents a significant advance in the country's financial and environmental sustainability.
The chairman of the BVM, Salim Valá, said in an interview with the Lusa news agency that the BVM is working with one of the national financial institutions that has shown initial interest in bringing 'green bonds' to fruition in Mozambique. This type of sustainable financing is vital to support the transition to a green economy in Africa, contributing to projects aimed at climate change mitigation and adaptation, the creation of sustainable infrastructure, the efficient use of natural resources, and forest and biodiversity conservation projects.
The introduction of sustainable financing products into the BVM's securities portfolio is seen as a crucial step in strengthening Mozambique's position in international capital market indices. Valá acknowledged that the absence of these products has harmed the country's position in those indices.
Since 2022, the BVM has been preparing proposals for the launch of sustainable financing instruments, including 'green bonds' to finance investment in the green economy and 'blue bonds' for the blue economy. These efforts are aligned with internationally accepted procedures and reflect an exchange of experience with exchanges in other countries.
The issue of these sustainable securities is a fundamental step for Mozambique, since as well as boosting the green economy, it supports organisations' efforts to adapt to and mitigate climate change. This initiative places the country at the forefront of green finance in Africa, showing a commitment to sustainable and responsible development
