AIB has raised €750m from the issuance of its fifth green bond, the proceeds of which will contribute to the financing of projects with clear environmental and climate action benefits while further strengthening the bank's capital position.
Over the last three years AIB has raised a combined €4 billion from the issuance of green bonds after becoming the first Irish bank to issue such a bond in 2020.
When social bonds are included, the bank said it has raised €5.75 billion from the issuance of bonds for Environmental, Social and Governance (ESG) purposes.
AIB's chief executive Colin Hunt said one of the bank's key strategic priorities is to support the transition to a low-carbon future by reducing its own carbon footprint and helping its 3.2 million customers to do the same.
"The floods and fires we witnessed in Europe and elsewhere this year have reminded us once again of the importance of ensuring a greener tomorrow by backing those building it today, including through major investment in energy and climate action infrastructure," Mr Hunt said.
"We are also supporting our personal customers with discounted green mortgages to buy energy efficient homes and green personal loans to fund retrofits or the purchase of electric vehicles," he added.
Colin Hunt said that AIB is aiming to have 70% of the bank's lending to be be green or transition to green by 2030.
"And we are making real progress towards achieving that goal with over €9 billion of AIB's €10 billion Climate Action Fund drawn at the half year stage," he said.
Mr Hunt said that green bonds are a key part of the transition finance toolkit as they enable capital to be directed towards key green and transition activities.
"The success of today's transaction further underlines AIB as a national sustainability champion with a very strong capital and financial position and our ongoing commitment to our sustainability goals," he added.
AIB will next month host its seventh annual Sustainability Conference, which takes place on November 20.
Speakers include Jacinda Ardern, the former Prime Minister of New Zealand, and Trevor Noah, comedian, author, producer and philanthropist.
