Moroccan lenders BMCE Bank of Africa and Banque Centrale Populaire (BCP) are getting ready to issue more than $250 million of green bonds.

The Moroccan Capital Markets Authority (AMMC) has already approved on November 4, the issuance of 500 million dirham (about $50.5 million) of green bonds by BMCE Bank of Africa which will thus become the first Moroccan lender to issue such bonds. The loan is to mature over five years and subscription period will open on Nov. 14 and close on Nov. 16.

BMCE said in a note on the loan that it has a portfolio of projects (wind, solar, hydropower, etc.) worth more than 500 million dirham to finance.

Moreover, the upcoming ordinary general assembly of BCP group which is expected to take place on November 14 should approve the issuance of green bonds worth two billion dirham ($202 million).

These issuances by the two Moroccan lenders come on the sideline of the 22nd session of the Conference of the Parties (COP22) to the United Nations Framework Convention on Climate Change currently going on in Marrakech.

Green bonds are a small segment of the debt market which is destined to finance environmental projects, clean energy, public transport and low carbon projects, susceptible of facilitating climate change adaption.

Since they were introduced in 2007, green bonds have mainly been issued by development institutions like the World Bank and the International Finance Corporation (IFC).