Home Mortgage Bank (HMB) and RBC Caribbean issued the first social bond in Trinidad and Tobago. The issuance of senior social bonds guaranteed for nearly 45 million dollars with a term of 5 years was fully subscribed by IDB Invest. HMB obtained an independent verification of the methodological framework, known as a second opinion (SPO), granted by Standard and Poor’s.

The proceeds will be used to finance the purchase of mortgages in the secondary market. All mortgages purchased by HMB must originate under Trinidad and Tobago’s interest rate subsidy programs and must be awarded to low- and middle-income families.

IDB Invest also provides technical assistance services to HMB to help develop its sustainable finance strategy and its Environmental and Social Management System (ESMS). In addition, the advisory services project will conduct a market study for green housing finance in order to identify opportunities in the market, and will support HMB in the rolling out of green financing lines.