Bank of Ireland successfully issues €500 million green bond at record low credit spread

6 January 2026 – Bank of Ireland has successfully raised €500 million through its latest green bond issuance, securing the tightest credit spread ever for an Irish bank on a Tier 2 bond.

The bond was priced at mid-swaps plus 135 basis points, significantly tighter than the initial guidance of mid-swaps plus 170 basis points. Investor demand was strong, with orders exceeding €2.4 billion and participation from more than 160 global investors. The bond carries a fixed coupon of 4.00%.

Bank of Ireland’s sustainability-related lending grew to €16.5 billion at the end of September 2025, achieving its end-year goal (€15 billion) ahead of schedule.

Tony Morley, Group Treasurer at Bank of Ireland, said:

“This is an excellent result for Bank of Ireland, achieved in favourable market conditions and reflecting strong investor confidence in us. It enables us to continue supporting customers in their transition to a low-carbon economy – through green mortgages, sustainability-linked lending, and funding for renewable energy projects. It’s another important step towards delivering our €30 billion sustainable finance ambition by 2030.”

The bookrunners on the transaction were Davy, BNP Paribas, Deutsche Bank, Morgan Stanley, Santander and UBS.

Ends

Note to editors

“Mid-swaps” refers to the midpoint between bid and offer rates in the interest-rate swap market and is commonly used as a benchmark for setting the interest rate on new corporate bond issues. For example, a bond issued at “Mid-swaps + 1.50%” carries an interest rate that is 1.50% above this benchmark.