The Development Bank of Rwanda (BRD) brought its second sustainability-linked bond to market with an RWF33.5 billion ($23.4 million) offering.

The order book was oversubscribed with RWF39 billion in subscriptions from resident and non-resident investors, having had an initial target of RWF30 billion.

It is the second issuance under BRD's Sustainability-Linked Bond Framework, which is built on three key performance indicators. The first is to ensure partner financial institutions that BRD lends to implement robust environmental and social management systems. The second is to increase the number of loans to women-led small and medium enterprises (SMEs) in Rwanda to 30% of SME loans by 2028. Finally, finance or refinance 13,000 affordable housing loans also by 2028.

The bond is partially credit-enhanced by a World Bank lending operation to the government of Rwanda.

RMB acted as joint lead manager, alongside BK Capital, and sole sustainability coordinator for the issuance.