DEG promotes sustainable housing in Mexico

DEG has reinforced its long-standing partnership with Vinte Viviendas Integrales, S.A.B. de C.V. (Vinte): as Vinte 24X SDG anchor investor, it has now subscribed for MXN 400 million (around USD 20 million) of the latest sustainable development bond issued by the Mexican developer. The Sustainable Development Goals (SDG) bond amounting to a total of MXN 500 million was certified in accordance with the SDG Impact Standards for Bond Issuers set by the United Nations Development Programme (UNDP). It will finance specific environmentally-friendly and socially-oriented construction projects in Mexico, notably supporting global SDG 11 – Sustainable Cities and Communities.

The funds will be allocated to the construction and certification of over 1,200 energy- and water-efficient homes complying with IFC EDGE standards. IFC EDGE, a certification system developed by the World Bank Group, promotes energy-efficient construction and the reduction of CO₂ emissions in the construction industry. “Mexico requires higher-quality, affordable and sustainable housing. With this bond we are supporting Vinte in developing sustainable housing projects as part of an integrated community approach and thus providing significant impetus for climate protection and social development in Mexico,” explains Pilar Montanes Rumayor, the responsible Senior Investment Manager at DEG.

The initiative is expected to create around 3,300 direct and indirect jobs across the entire value chain. Compliance with sustainability and environmental standards will be verified by external experts.

The company has been a DEG customer since 2012. The current investment in the SDG bond aims to reduce the housing shortage in Mexico and to promote sustainable communities.

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