Lagarde’s Green Push Picks Up With New ECB Collateral Option
- President wants key role for ECB in fighting climate change
- Bonds qualify for ECB asset purchases under certain conditions
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The European Central Bank will start accepting bonds linked to environmental goals as part of President Christine Lagarde’s drive to press ahead with a green agenda.
In a move that broadens the universe of green assets it accepts as collateral, bonds with coupons linked to sustainability performance targets will be eligible for its refinancing operations from January, the ECB said. They could also be used in the central bank’s quantitative easing programs if they comply with other criteria.