Biodiversity workshop, May 2025, Anca Voia

Presentation from the workshop on Mobilising Public and Private Finance for Biodiversity, May 2025

1. The French Sovereign Green Bonds as an
instrument for financing biodiversity
protection
OECD Workshop on MobilisingPublic and Private Finance for Biodiversity
16
th
of May 2025

2. Source: AFT, Bloomberg, April 2025
2
France is one of the largest sovereign issuers on a fast-growing green bond market
Introduction
€77.2bnnominaloutstanding
➢GreenOAT25June2039
FirstissuedinJanuary2017
€36.3bnoutstanding
➢GreenOAT25June2044
FirstissuedinMarch2021
€23,9bnoutstanding
➢GreenOAT25July2038
FirstissuedinMay2022
€7.1bnoutstanding,firsteversovereigngreen
inflation-linkedbond
➢GreenOAT25June2049
FirstissuedinJanuary2024
€9,9bnoutstanding
Amount of sovereign green bonds outstanding
Green bond = bond whoseproceedsare allocatedto a set of expendituresthathave a positive environmentalimpact

3. 3
A robust framework document aligned with ICMA recommendations
Green OAT Framework
•Asingleframeworkdocumentgovernsallthesebonds
andtakesintoaccountthespecificitiesofthegreen
indexedOATs.
•Theframeworkdocumentwasfirstpublishedin2017.
Anannexwasaddedin2022forthesakeofclarity
whenitwasdecidedtoissueagreeninflation-linked
bonds.Today(16
th
ofMay2025),AFTislaunchingan
updatedversionoftheGreenOATFramework
document.
•TheFrameworkisfullyalignedwiththefourcore
componentsoftheGreenBondPrinciplesandthetwo
complementarykeyrecommendations.

4. 4 OBJECTIVES 7 GREEN SECTORS
Climate change
mitigation
Environmental objectives broken down into seven priority sectors
4
Adaptation to climate
change
Biodiversity protection
Air, soil and water
pollution reduction
Energy
(incl. smart grids)
Living resourcesTransport
Buildings Adaptation
Pollution control
and eco-efficiency
Transversal
Expendituresmeetnational objectives and are part of 7 sectors
Biodiversityprotection:
•one of the four environmentalobjectives of Green OATs
•one of the sevensectorsto whichGreen OAT fundsare allocated
Understand and
protect biodiversity
Sustainably manage
land and marine areas
Promote sustainable
production and
consumption modes

5. 5
Total allocations for the first sevenyearsof Green OAT issuance
Results

6. An independent body dedicated to impact evaluation
The Green OAT Evaluation Council
6
WiththeinauguralissueofthefirstGreenOATinJanuary2017,theFrenchgovernmentcommittedtopublishreportsonthe
environmentalimpactofEligibleGreenExpenditure.Tothisend,anindependentbodywascreated.Itsmembersandobserver
membersarehigh-levelinternationalexpertsingreenfinance,publicpolicyevaluationandenvironmentalscience.
Manuel Pulgar-Vidal
Former Minister for the Environment in Peru, President of the UNFCCC1 COP20 and currently WWF Global Climate and Energy Practice Leader
Mats Andersson
Vice-Chairman of the Global Challenges
Foundation, Chairman of PDC and former CEO
of AP4, Sweden’s fourth national pension fund
Mike Holland
Independent consultant
Nathalie Girouard
Head of the Environmental Performance and
Information Division of the Environment
Directorate at the OECD
Karin Kemper
Former Senior Director for the Environment and
Natural Resources Global Practice at the World
Bank
Rana Roy
Independent consultant
Thomas Sterner
Professor of Environmental Economics at the
University of Gothenburg
Sean Kidney
Co-founder and CEO of the Climate Bond
Initiative
Nicholas Pfaff
Senior Director and Secretary to the Green
Bond Principles, ICMA (International Capital
Market Association).
Joint secretariat of the
Green OAT Evaluation
Council
Directorate General of
Treasury
Ministry of Ecological
Transition
1
1
CGDD -Commissariat Général au développement durable
Observer members

7. 7
At the end of 2024, 7 evaluationreports werepublished, representingaround30% of the total allocation (€23 bn)
The Green OAT Evaluation Reports
Publishedin december2024

8. 8
Directlythroughthe financingof public policiesaimedat biodiversityprotection
The French Green OATsas an instrument for financingbiodiversityprotection
Evaluation report in progress
Evaluation results
Expenditureand programs financedby Green OATsunderthe Living Resourcessector

9. 9
Indirectlythroughthe financingof otherenvironmentalpublic policieswithbiodiversityco-benefits
The French Green OATsas an instrument for financingbiodiversityprotection
✓0 use of plant protection productssince2013
✓50% of riverbanksrestored
✓Optimisationof agricultural treatments based on meteorological forecasts makes it possible to reduce harm
to biodiversity, with a reduction in eutrophication. It is estimated that, every year, this optimisationavoids
the loss of species in 11 to 54 km³ of water (fresh water, coastal waters, groundwater)
✓The objectives of the PIA are alignedwiththoseof the National BiodiversityStrategy
✓26% of the projectswereadditionalon the biodiversityprotection criterion
Evaluation resultson biodiversity

10. Website: wwww.aft.gouv.fr
Reuters : <TRESOR>
Bloomberg : TREX <GO>