European Investment Bank Group 1
Diversifying Financing Instruments to
Realise REDD+
2016 Global Landscapes Forum – The Investment Case
The Royal Society – London, Monday 6th June 2016
Christopher Knowles

09/06/2016 European Investment Bank Group 2
EIB CABs – Strategy and Key Features
Financial Impact
Transparency and Accountability
• First green bond: EIB was the first issuer to introduce labeled green bond in 2007
• Scale: Largest Green Bond issuer to date (EUR 14.2bn)* and largest SSA Green Bond issuer 2016 ytd (EUR 2.9bn)*
• Liquidity: Largest Green Bond in EUR (3bn), liquid size in USD (1.5bn) and GBP (1.8bn)
• Green Bond curve in EUR: three references in 4-, 8-, and 11-yr tenors
• Exposure to EIB credit not projects: CABs pari passu with other EIB bonds (Triple A)
• No premium charged - priced like other EIB bonds of same size & maturity
• No refinancing: Project allocations are made only once upon disbursement
• Aligned with Green Bond Principles: clear reporting on alignment
• Clear sector focus: Projects in Renewable Energy and Energy Efficiency
• Quality: Project due diligence expertise, applying high EU standards
• Transparency: Detailed reporting on use of proceeds (Newsletter/Sustainability Report)
• Verification / audit: external audit of reporting on use of proceeds
• Reporting project impact + linking bonds to projects: Both launched in 2015
*As of 30 April 2016

EIB CABs - Projects
Non-EU represents EUR 878m
(12.1% of total CAB allocations)
Country / region
CAB allocation
(EUR m)
Chile 17
Dominican Republic 2
DRC (Congo) 5
Egypt 19
Georgia 17
Iceland 173
India 54
Israel 55
Jordan 45
Kenya 49
Latin America 20
Liberia 30
Mexico 79
Morocco 40
Nicaragua 24
Russian Federation 58
South Africa 186
Zambia 7
1,713m; 23.6%
737m; 10.2%
694m;
9.6%
678m;
9.3%
574m; 7.9%
488m;
6.7%
297m;
4.1%
259m;
3.6%
251m; 3.5%
196m; 2.7%
154m; 2.1%
100m; 1.4%
79m; 1.1%
45m;
0.6%
16m;
0.2%
60m; 0.8%
24m; 0.3%
Project allocations in EUR m
* As of June 2015
18m; 0.2%
104 projects in 41 countries within and outside of the EU*

Althelia achieves landscape protection by
unlocking multiple value streams
• Medium-term performance based
financing allowing to generate at the
same time conservation and economical
development;
• Bottom-up approach, leveraging on
concrete, scalable activities;
• Multi-stakeholder involvement, from
local communities to global supply
chains.
Purchase of
environmentally
cer fied
commodi es
(FSC, cocoa, etc.)
Supply chain
purchaser
Cer fied
commodi es
(FSC, cocoa...)
Pledge and /or
margin
Payment for
Ecosystem services
Illustra ve example of an Investment
Implementa on
Before
(un-sustainable)
A er
(sustainable)
Negave
Environ.
Impacts
Althelia
Climate Fund
Ecosystem
Services
Social
development,
jobs crea on
Althelia Sustainable Land Use Funds

Illustrative Investment:
Cocoa and Conservation of a National Park
Althelia
Co-financiers
(grants)
Conservation
activities
CO2 emissions
reductions
Cocoa
Production
Capex and Opex over 8 years
Financing Pool
$a + $b = $13 m
$b$a
Project
$13 m
Carbon Revenues
$a VCU @ $b = $c
Cocoa Revenues
$x VCU @ $y = $z
• Social Impact
• Biodiversity
Protection
Outcomes &
Impacts:
• $c + $z
• $13 m Investment

Nature Conservation Notes – The Structure
09/06/2016 European Investment Bank Group 6

09/06/2016 European Investment Bank Group 7
More Information (please click on the pictures)

09/06/2016 European Investment Bank Group 8
For more information please contact:
Christopher Knowles
Head
Climate Change & Environment
Operations Directorate
c.knowles@eib.org
European Investment Bank
98, Boulevard Konrad Adenauer
L-2950 Luxembourg