US asset management giant Nuveen is to act as the anchor investor for a new impact bond called Barbados Blue Bond, which will aim to preserve local tourism and fishery industries through sustainable ocean management practices in the Caribbean island nation.
The bond, issued by The Nature Conservancy and Inter-American Development Bank, will see $50m spent over the next 15 years to facilitate the conservation of at least 30% of Barbados’ marine space.
Nuveen confirmed it plans to use impact data provided to the Marine Spatial Plan Steering Committee – a body consisting of The Nature Conservancy, government officials and local stakeholders – to monitor the progress of capital allocation and conservation targets. Credit Suisse acted as lead underwriter on the bond.
This is the second blue bond investment made by Nuveen’s Public Fixed Income Impact Investment Team after being the lead investor in the world’s first blue bond, issued by the Seychelles in 2018.
Speaking to Net Zero Investor, Martin Davies of Nuveen Natural Capital, argued that land-based investment opportunities are set to surge as global carbon markets mature.
