The Export-Import Bank of India (Exim Bank)

The Client

The Export-Import Bank of India (Exim Bank) is a specialized financial institution in India that was established in 1982. The bank’s primary function is to finance, facilitate and promote India’s international trade. It is owned by the Government of India and operates as a statutory corporation.

The Challenge

To finance or refinance, in whole or in part, new or existing Eligible Projects. Below are the Eligible Project Categories within the framework:

Renewable Energy
Energy Efficiency
Pollution Prevention & Control
Green Buildings
Sustainable Water and Wastewater Management
Clean Transportation
Access to Essential Services and Basic Infrastructure
Food securitv and Sustainable Food Systems
MSME Financing
Affordable Housing

The Solution

On January 10, 2023, Export-Import Bank of India (“EXIM”) priced a highly successful US$1bn senior unsecured inaugural sustainability bond offering under the 144A/Reg S format. Citi acted as Joint Lead Manager on the transaction.

The Result

EXIM accessed US$ bond markets after 2 years with its inaugural sustainability bond, reopening FCY bond markets for Indian issuers after over 9 months
Largest BBB-tranche from Asia since April ’22
Largest ever sustainable tranche issued by an Investment Grade Indian issuer
Peak orderbook oversubscription of 3.7x, one of the highest for a benchmark Indian Investment Grade issuance
One of the few deals to pay zero new issue premiums since 2022 in Asia ex-Japan
This deal saw one of the highest allocation to real money institutional accounts to the tune of 86%
Significant participation globally from high quality US and EMEA investors which got allocated 39% and 29% respectively

EXIM will strive to fully allocate the net proceeds from the issue of the Notes within the financial year ended March 31, 2023 and the next two FYNet proceeds will be deposited in EXIM Bank’s General Funding Account, pending allocation to Eligible Projects.

Proceeds will be held in accordance with the Bank’s liquidity guidelines for short term time deposits or investments or to repay debt, excluding debt towards non-green activities.