Singapore Management University (SMU) has raised S$150 million through its inaugural Sustainability Bond, the first issued by an autonomous university in Singapore.
The bond was issued on 28 July 2025 with a coupon rate of 2.022% and will mature on 28 July 2032. OCBC acted as the sole lead manager and bookrunner.
Proceeds will be allocated according to SMU’s Sustainable Financing Framework introduced in June 2025.
The framework, developed in collaboration with OCBC, aligns with the university’s Sustainability Blueprint and sets out how funds will be used and managed.
It received a Second Party Opinion from Moody’s Investors Service, which assessed it as contributing significantly to sustainable outcomes and assigned it a Sustainability Quality Score of SQS2 – Very Good.
Eligible projects include green buildings, energy efficiency upgrades, green ICT infrastructure, sustainable water and waste management, and programmes that promote inclusive education, knowledge sharing, and mental health.
The university said the bond will support both environmental initiatives and social programmes benefitting students from low-income families.
SMU holds an Aaa credit rating from Moody’s, reflecting its strong financial position and institutional stability.
Professor Lily Kong, SMU President, said,
“This inaugural Sustainability Bond is more than just a financial instrument — it reflects our belief that universities must play a leading role in building a more sustainable and inclusive future. We’ve been guided by our Sustainability Blueprint since 2022 and are proud to contribute to the priorities set out in the Singapore Green Plan 2030.
As a university, we take seriously our role in shaping future-ready graduates who are not only intellectually agile, but also attuned to the pressing challenges of our time. By embedding sustainability in our operations and investments, we hope to lead with purpose and conviction.”
Featured image: Edited by Fintech News Singapore, based on image by mkmult via Freepik
