NIFRA Launches Rs. 5 Billion Green Energy Bond Offering 6% Annual Return

In a significant push toward sustainable infrastructure financing, Nepal Infrastructure Bank Limited (NIFRA) has launched its newest financial instrument, the “NIFRA Green Energy Bond 6% 2088/89,” which is now open for public subscription starting today Jestha 18, 2082. 

This seven-year bond promises an annual return of 6%, offering a stable and environmentally conscious investment option at a time when green financing is gaining momentum.

The total issue size is Rs. 5 billion, divided into 50 lakh units, each with a face value of Rs. 1,000. The bond has been structured to include both institutional and retail investors.

Here is the breakdown:

60% of the issuance, equivalent to 30 lakh units (Rs. 3 billion), is allocated for private placement.
The remaining 40%, or 20 lakh units (Rs. 2 billion), will be offered to the general public.

From the public portion, 1 lakh units have been reserved for mutual funds, while the remaining 19 lakh units are open for individual and institutional investors.

Investors must apply for a minimum of 25 units, while the maximum application limit is capped at 10 lakh units. The subscription period begins on Jestha 18 and could close as early as Jestha 21 if fully subscribed. If not, applications will remain open until Ashad 1.

NIMB Ace Capital Limited is serving as the issue and sales manager for the offering.

This bond is not just a financial opportunity. It aligns with Nepal’s broader ambition to develop clean, green, and resilient infrastructure. With dedicated funds channeled toward renewable energy projects, the NIFRA Green Energy Bond stands as a strong step forward in blending investment growth with environmental responsibility.