ECB to accept sustainability-linked bonds as collateral
Retrieved on:
Wednesday, September 23, 2020
PRESS RELEASE
Key Points:
- PRESS RELEASE
ECB to accept sustainability-linked bonds as collateral
22 September 2020
The European Central Bank (ECB) has decided that bonds with coupon structures linked to certain sustainability performance targets will become eligible as collateral for Eurosystem credit operations and also for Eurosystem outright purchases for monetary policy purposes, provided they comply with all other eligibility criteria.
- This further broadens the universe of Eurosystem-eligible marketable assets and signals the Eurosystems support for innovation in the area of sustainable finance.
- Non-marketable assets with comparable coupon structures are already eligible.
- The decision aligns the treatment of marketable and non-marketable collateral assets with such coupon structures.