Enviro News Asia, Rome — The International Fund for Agricultural Development (IFAD) issued a SEK 750 million sustainable bond in early 2026 through a private placement with Swedish institutional investors Skandia, AP3, and Kammarkollegiet.
The bond was issued under IFAD’s Sustainable Development Finance Framework and marks the organization’s thirteenth sustainable bond issuance. Skandia acted as the lead investor, supporting IFAD for the third time, while AP3 and Kammarkollegiet participated as new investors.
Proceeds from the bond will finance IFAD’s global development projects aimed at transforming rural areas, improving agricultural productivity, strengthening food security, and increasing resilience among rural communities in developing countries.
IFAD stated that the issuance reflects its strategy to build long-term partnerships with repeat investors while attracting new institutional investors with a strong focus on environmental, social, and governance (ESG) principles.
The organization emphasized that its investments target small-scale farmers by improving access to markets, technologies, rural agribusinesses, and climate-resilient agricultural practices. According to IFAD, recent impact assessments show that its projects have increased farmers’ production, income, and market access by more than one third. Between 2022 and 2024, IFAD-supported initiatives also contributed to the creation of nearly 390,000 jobs.
The investors highlighted the role of sustainable finance in supporting long-term development and global food security. Small-scale farmers, who produce approximately half of the world’s food, remain central to IFAD’s development mandate, particularly in rural regions where poverty rates remain high.
IFAD noted that strategic investments in rural economies generate strong economic and social returns, contributing to poverty reduction, stable livelihoods, and more resilient food systems. (*)
