1. Industry News

Symbiotics Launches First 100% Agricultural Green Bond in India with Samunnati

KJ Contributor
KJ Contributor
Anil Kumar SG

Symbiotics, the leading market access platform for impact investing, has arranged with Samunnati, a specialised agri value chain enabler its first Green Bond whereby the proceeds of USD 4.6 million in local currency equivalent are fully allocated towards climate smart agriculture.

Since its inception in 2014, Samunnati’s mission has been to support smallholder farmers by removing inefficiencies in the agricultural value chain. Samunnati provides short-term loans to farmer producer organisations, community business organisations and agri-enterprises.

With the issuance of this Green Bond Samunnati has committed itself towards the promotion of climate smart agricultural practices by its loan borrowers. Both green and social practices are cemented within the heart of the company displayed by its staff, as well as policies and frameworks.

Anilkumar SG, Founder and CEO at Samunnati said, “Samunnati is working with FPOs on the supply side and Agri Enterprises on the demand side across 22 states in India. We are delighted to partner with Symbiotics on our first Green Bond.This will help us further offer customized financial solutions to entities interested in adopting climate smart and green solutions, using social and trade capital, to FPOs and SMEs, enabling the agri value chain to operate at a higher equilibrium. The Green Bond will enable Samunnati to strengthen the climate resilience across agri-sector, including that of small and marginal farmers in India.”

“This Green Bond issuance with Samunnati underlines its commitment to sustainable agricultural practices. – Its deep understanding of the sector allowed us to earmark the proceeds of this bond to very specific projects under the agriculture, forestry and land use category.”, said Daniel Schriber, Head of Investments at Symbiotics.

Samunnati’s green loans follow Climate Bond Initiative categorization, in accordance with the Green Bond Principles of Climate Smart Agriculture. The loans are classified under three types of activities: (i) food security, (ii) climate resilience and (iii) green house gas management.

The following SDGs are promoted with this Green Bond are (i) no poverty (ii) zero hunger (iii) responsible consumption and production (iv) climate action and (v) life on land

The Green Bond will be listed on the Luxembourg Green Exchange within the Green Bond section. The proceeds are to be fully used towards a 3-year tenor, senior, local currency loan facility to Samunnati.

Like this article?

Hey! I am KJ Contributor. Did you liked this article and have suggestions to improve this article? Mail me your suggestions and feedback.

Share your comments

Subscribe to our Newsletter. You choose the topics of your interest and we'll send you handpicked news and latest updates based on your choice.

Subscribe Newsletters