DFCC Bank leads charge in sustainability with Rs. 500 m investment in AFC’s Green Bond

Friday, 18 April 2025 00:04 - - {{hitsCtrl.values.hits}}

Further reinforcing its leadership in sustainable finance, DFCC Bank has become the largest investor in Alliance Finance Company PLC’s (AFC) Green Bond Issue, investing Rs. 500 million—half of the total Rs. 1 billion issuance. Rated A- by Lanka Rating Agency Ltd., the AFC Green Bond is listed on the Colombo Stock Exchange (CSE), with proceeds dedicated to renewable energy projects.

This strategic investment underscores DFCC Bank’s long-standing commitment to expanding green financing in Sri Lanka. The bond proceeds will fund renewable energy initiatives, including rooftop solar installations and solar equipment financing, supporting a stable and sustainable energy ecosystem.

DFCC Bank Director/Chief Executive Officer Thimal Perera stated: “Our investment in AFC’s Green Bond is part of a broader commitment to accelerating Sri Lanka’s transition to a greener economy. By enabling renewable energy financing, we are driving sustainable business practices and laying the foundation for long-term economic resilience. Sustainable finance is no longer a choice – it is an imperative, and DFCC Bank is proud to be at the forefront of this transformation.”

As a pioneer in sustainable finance, DFCC Bank has played a pivotal role in shaping Sri Lanka’s renewable energy sector. The bank financed the country’s first private-sector mini-hydro power project, setting a benchmark for clean energy development, and has co-financed other milestone projects, including Sri Lanka’s first grid-scale wind, solar, and waste-to-energy ventures. DFCC Bank’s leadership extends beyond national borders, with its Green Bond listed on the Luxembourg Stock Exchange (LuxSE) and displayed on the Luxembourg Green Exchange (LGX), further strengthening its global credibility in sustainable finance.

DFCC Bank remains committed to expanding access to green financing solutions that drive environmental and economic progress. By continuing to invest in initiatives like the AFC Green Bond, the Bank is reinforcing its role as a catalyst for sustainable development, helping businesses and communities transition to a low-carbon future.