Sri Lanka-based Alliance Finance Company PLC (AFC), the oldest non-bank financial institution in Sri Lanka based in the South Asian region, brings its inaugural green bond to the Luxembourg Stock Exchange (LuxSE) and Luxembourg Green Exchange (LGX).

Alliance Finance Company PLC has made its debut on the Luxembourg Stock Exchange (LuxSE) by registering its inaugural green bond on the exchange's Securities Official List (LuxSE SOL). The LKR 1 billion (equivalent to EUR 3.1 million) green bond is also displayed on LuxSE's UN-awarded platform for sustainable finance, the Luxembourg Green Exchange (LGX) 

Alliance Finance Company, as the oldest non-bank financial institution in Sri Lanka, provides a range of financial services including, fixed deposits, savings accounts, leasing, solar loans, agri-finance, gold loans, to micro, small and medium enterprises in the South Asian nation.


Driving sustainable growth in Sri Lanka

The bond, which is also listed on the Colombo Stock Exchange, will finance projects aligned with Alliance Finance Company’s Green Bond Framework 2025. This includes, Renewable Energy Financing and supporting solar power renewable energy projects that enable businesses and individuals to shift towards clean and sustainable energy sources, and Energy Efficiency Enhancements by funding initiatives aimed at reducing energy consumption and improving efficiency in industrial, commercial, and residential sectors. Additionally, proceeds will be directed toward financing solar equipment vendors and suppliers.

“We are delighted to welcome Alliance Finance Company PLC and its inaugural green bond to LuxSE and LGX. Sustainable finance has a key role to play in securing the long-term sustainable development of Sri Lanka, and we applaud Alliance Finance Company PLC for its continued commitment to playing its part in this mission,” commented Mr Arnaud Delestienne, Director of International Capital Markets & Member of the Executive Committee at LuxSE.


A result of capacity building and dedication

Established in Colombo in 1956, Alliance Finance Company is a pioneering financial institution in Sri Lanka focusing on people, planet and profit.

In 2017, it became the first financial institution in South Asia to be certified for holistic sustainability under the Sustainability Standards and Certificate Initiative (SSCI) of the European Organization for Sustainable Development (EOSD)

This important listing comes as a direct result of Alliance Finance Company representatives’ participation in a 3-day capacity building training led by United Nations Economic and Social Commission for Asia and the Pacific (UN ESCAP) in cooperation with the LGX Academy in 2023.

Mr Romani de Silva, Deputy Chairman and Managing Director of Alliance Finance Company PLC, highlighted the significance of this achievement, stating, “The listing of Alliance Finance Company’s inaugural green bond on Luxembourg Stock Exchange and Luxembourg Green Exchange is a key milestone in our journey towards sustainable finance. As Sri Lanka’s oldest non-bank financial institution, we are deeply committed to driving positive environmental and social impact whilst delivering value to our stakeholders. This achievement reinforces our dedication to financing green projects that support Sri Lanka’s transition to a low-carbon economy. We are honoured to be part of this of this global platform for sustainable finance and look forward to contributing further to the global green finance eco-system.”