The main difference between stocks and bonds is that a stock is an equity instrument and a bond is a debt instrument. Buying a stock means to buy a share in the business of the company, which gives you the right to participate in management and receive income from its operations. However, if you have small quantity of shares, your role in management will not be decisive; if the company makes a profit, its shareholder will be paid dividends. Bond holders are regarded as creditors. They just lend their money to the issuer of the bonds. As a result, their benefit is in receiving a guaranteed income (coupon).

It's all about the projects on which green bond issue proceeds will be spent. This is one of the instruments for financing environmental projects: such bonds allow attracting earmarked funds for the establishment and development of initiatives and projects related to the minimization of negative impact on the environment and the introduction of innovative solutions. It took long time for Russia to introduce sub-federal green bonds. And Moscow is the first region of Russia to issue such securities.
Moscow issued Russia's first green sub-federal bonds
#FirstGreen
The green bond proceeds will be used to implement urban environmental projects
The volume of the green bonds issue
Green bonds issue proceeds are used to implement the city's priority projects that reduce emissions of pollutants and greenhouse gas (CO ) emissions from vehicles.
70
billion
2
Bus fleet renewal
Number of electric buses
Moscow
London
Paris
CO emissions
Bus
Electric bus
tons per year
tons per year
600
400
230
64,9
4,4
At expense green bonds
+400
2
Replacement of one diesel bus with an electric bus
kg/year
-260,5
Reduces pollutant emissions
for class
-189
Reduces CO
60,5
tons / year
kg/year
for class
Euro-4
Euro-5
2
by an average of
emissions
Construction of the Big Circle Line (BCL)
BCL will become the largest metro belt line in the world
Construction
18
new metro stations
Reconstruction
3
metro stations
with the use of green bonds proceeds
km
of metro lines
km
of metro lines
43,8
4
Construction
Reconstruction
Thanks to the launching new metro sections by 2023, the number of cars on the streets of Moscow will be decreased at least by 10 thousand, which means:
Credit rating
Issuer reliability
Positive forecast
ВAA3
Stable forecast
ВВВ
Stable forecast
ВВВ-
Stable forecast
ААА
Moscow is a reliable borrower
Rating of investment attractiveness of Russia
1
Level of investment attractiveness according to the National Rating Agency – IC1
place
st