FRANKFURT (Reuters) – The European Central Bank will accept bonds with coupon structures linked to certain sustainability performance targets as collateral from next year and may also buy such bonds under its asset purchase schemes, it said on Tuesday.
“The coupons must be linked to a performance target referring to one or more of the environmental objectives set out in the EU Taxonomy Regulation and/or to one or more of the United Nations Sustainable Development Goals relating to climate change or environmental degradation,” the ECB said.
“This further broadens the universe of Eurosystem-eligible marketable assets and signals the Eurosystem’s support for innovation in the area of sustainable finance,” it added.
(Reporting by Balazs Koranyi; Editing by Gareth Jones)
