The funds raised by the Green Finance Framework will be used for climate and environment-related projects. The framework explains how to establish, select and manage these projects so that investors can obtain transparent information. The green financial framework paved the way for Volvo Car to issue the first green bond. The funds raised by the bonds will be used to invest in new pure electric vehicles, new vehicle platforms and powertrain technologies, as well as to improve the production capacity of batteries and electric vehicles.
Volvo Car Green Finance Framework has passed the evaluation of Cicero and obtained its highest dark green rating. Cicero is an independent supplier of green bond investment framework evaluation based on research, and is in a leading position in the industry. Volvo Cars released the "2040 Environmental Protection Plan" last year, aiming at dealing with carbon emissions through measures such as business operations and products, and striving to develop the company into a global climate zero-load benchmark enterprise by 2040.
Carla de Geyseleer, chief financial officer of Volvo Cars, said: "In the next few years, we will achieve our climate goals through ambitious investment plans. As we all know, the financial industry plays a vital role in stimulating and supporting sustainable development. I am very happy that we can now provide a good opportunity for the financial community to make sustainable investments in Volvo cars. "