Mexico ranks as the largest international sovereign issuer of sustainable bonds in the Samurai market

On August 21, the placement of five new bonds in the Samurai market, aligned with the Sustainable Development Goals (SDGs), with terms of 3, 5, 7, 7, 10 and 20 years, which will pay coupon rates of 1.43%, 1.72%, 1.88%, 2.27% and 2.93%, respectively, was successfully concluded. The total amount placed was 152.2 billion yen (equivalent to 1.05 billion dollars).

The transaction involved 46 investors, 63% of which were regional banks, cooperative insurers and Japanese funds. The remaining 37% came from other regions, reflecting the confidence of foreign investors in the sustainability and strength of Mexico’s public finances.

The Ministry of Finance and Public Credit maintains the commitment initiated in 2020 to implement its Sustainable Finance Mobilization Strategy in major international markets, including the United States, Europe and Japan. Currently, Mexico has a total of 15 benchmark bonds with these characteristics, worth US$11.2 billion, in addition to developing sustainable fixed and variable rate instruments in the local market.

Between 2022 and 2024, Mexico managed to consolidate the sustainable financing curve in yen, with a total of 10 benchmark bonds, which positions it as the largest international issuer of sovereign sustainable bonds, only behind the Japanese government.

Based on the framework for the issuance of SDG-linked Sovereign Bonds, an amount equivalent to the total amount issued will be allocated to sustainable projects, classified as eligible expenditures, in accordance with the Federal Expenditure Budget for the current fiscal year.