En Es

Sustainable Instruments


This initiative was created under the Colombian securities market's sustainable development strategy, with the objective of offering the market a new financing and investment alternative for issuers, investors and stakeholders.

Types of instruments:

Tipos de proyectos

Renewable energies

Energy efficiency

Pollution prevention and control

Environmentally sustainable management of wildlife, resources and land use

Conservation of land and water biodiversity

Clean transportation

Sustainable water and wastewater management

Climate change adaptation

Products adapted to eco-efficiency and/or circular economy

Green buildings that comply with regional and national requirements and internationally recognized standards or certifications

Green bonds

Any kind of bond where the resources are used exclusively to finance or re-finance projects that are eligible for being classified as green and are aligned with the 4 components of the Green Bond Principles (GBP) from ICMA.

Types of projects

Accessible basic infrastructure

Access to basic services (i.e. health, education and professional training services, sanitation, financing and financial services);

Accessible housing

Job generation, including the potential effect of financing SMEs and micro-financing

Food safety

Target populations

Living under the poverty line

Excluded and/or marginalized populations and/or communities

Vulnerable groups, including those affected by natural disasters

Persons with disabilities

Migrants and/or displaced populations




Social bonds

Any kind of bond where the resources are used exclusively to finance or re-finance projects that are eligible for being classified as social and are aligned with the 4 components of the Green Bond Principles (GBP) from ICMA.

Sustainable bonds

Bonds whose resources are to be used exclusively to finance or re-finance a combination of projects that are eligible for classification as green or social, in accordance with the 4 main components of the Green Bond Principles (GBP) and SBP from ICMA.

Sustainable Linked Bonds

Are a type of bond instrument for which the financial and/or structural characteristics may vary depending on whether the issuer achieves or not certain predefined Sustainability or ESG (Environmental, Social, and Governance) objectives. The funds obtained through the issuance of this bonds are intended to be used on general corporate purposes.

Orange bonds

Orange bonds are debt instruments issued to fund projects or industries classified as creative and/or cultural. The issuance of orange bonds in Colombia is aligned with the GBP and SBP of ICMA


Growth and diversification of the investor base

New investors with sustainable strategies that seek assets with climate, environmental, social and/or sustainability impacts

Identification of the instrument with a green, social and/or sustainability label

Helps identify green, social and/or sustainability assets and direct funds to climate, environmental, social and/or sustainable investments

Increases investor trust and interest

Offers transparency and certainty about the use of resources

Image and visibility for investors

Expresses environmental, social and sustainability commitments


Use of resources derived from issuance

The full amount of the resources must be exclusively applied to financing or re-financing of green, social or sustainable projects, new or existing, which will be clearly described in the issuance's legal documentation.

Project evaluation and selection process

The issuer shall inform investors of:

  • Environmental, social and sustainable goals.
  • The project's eligibility process.
  • Eligibility criteria (associated risks).

Administration of resources.

Resources raised through the bonds must be managed separately within the issuing entity, and must be use to finance the project over the instrument's life.

Periodic reports

The issuer shall submit annual reports during the life of the bonds regarding the use and application of resources derived from the issuance.

External verification

In order to guarantee that the capital raised through the issuance of green, social and sustainable bonds will be used to finance the defined projects, an external verification is mandatory and applies to the three types of bonds. This Verification consists of the following steps:


Consultant Review

The issuer may retain consultants and/or institutions with renowned experience in environmental, social and sustainability matters or other aspects of the process of issuing green, social or sustainable bonds.



The issuer may request independent verification by a qualified expert of its green, social or sustainable bonds or the underlying assets.



The issuer may request certification of its green or social bonds or the use of resources on the basis of an external evaluation standard. The evaluation standard establishes the criteria, and a qualified third party certifies compliance with such criteria.



The issuer may have its green or social bonds rated by providers of specialized research or rating agencies. Bond ratings are independent from the issuer's ESG rating. They generally apply to an issue or to an issuance program.

Success Case

Social Bonds Issuance - Bancoldex

Issuance amount: $400k millones

Demand: 4.17x

Orange Bonds Issuance - Bancoldex

Issuance amount: $400k millones

Issuance process

Registration requirements for green, social or sustainable bonds are found in Articles 1.1.1 and 1.1.2 of bvc Market Rules.

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