News Release
September 15, 2023

The City of Toronto has issued a $100 million green bond to help finance transformative climate action projects with an all-in cost of 4.972 per cent. The transaction is a reopening of the green bond originally issued in November 2022 and brings the total to $400 million. This marks the sixth time the City has issued a green bond since its initial offering in 2018 and the third bond issued by the City this year.

This green bond, with a 20-year maturity and a coupon interest rate of 4.40 per cent, will mature on December 14, 2042. It was issued on September 15 and will settle on October 3, 2023.

The proceeds will be used to finance Council approved capital projects addressing climate change at several City divisions and agencies such as Corporate Real Estate Management, the Toronto & Region Conservation Authority, the Toronto Transit Commission and Transportation Services. Projects funded include state of good repair, renewable thermal energy, Yonge-Bloor capacity improvements and cycling infrastructure.

Despite sustained concerns about inflation, investor confidence in the City’s financial management and Toronto’s economy continues to be strong and demand for municipal bonds remains high. This issuance was very well-received and had a total of 29 Canadian and international investors and was three times oversubscribed.

City Council has adopted an ambitious strategy to reduce community-wide greenhouse gas emissions in Toronto to net zero by 2040, one of the most ambitious in North America. The green bond program is just one of the many initiatives the City is leading on as part of its TransformTO Net Zero Strategy. Learn more about TransformTO on the City’s website.

Toronto has one of the largest municipal borrowing programs in Canada. It is a regular issuer in the public Canadian debt market with several sinking fund debentures each year. Debenture issues are initially distributed and traded by Canadian investment dealers. Retail investors interested in investing in the City’s debentures can contact their financial institutions.

The City maintains an AA credit rating by S&P Global, an AA credit rating by DBRS Morningstar and an Aa1 credit rating by Moody’s. These ratings reflect the City’s prudent financial management throughout the pandemic, previous financial support secured from other orders of government and Toronto’s deep and diversified economy.

More information about the City’s bond programs is available on the City’s Investor Relations webpage.


“The City of Toronto continues to take bold climate action and this green bond – our sixth since we became one of the first Canadian municipalities to issue green bonds – will fund capital projects to make life better and more sustainable for Torontonians, improving our health, growing our economy, cultivating social equity and building our resilience.”

– Mayor Olivia Chow

“The City continues to be a leader in sustainability, leveraging our significant capital budget to invest in our communities and take climate action now. Our green bonds are a sound financial investment and investors continue to show confidence in Toronto with their positive response to this issuance.”

– Councillor Shelley Carroll (Don Valley North), Budget Committee Chair


Toronto is home to more than three million people whose diversity and experiences make this great city Canada’s leading economic engine and one of the world’s most diverse and livable cities. As the fourth largest city in North America, Toronto is a global leader in technology, finance, film, music, culture and innovation and climate action, and consistently places at the top of international rankings due to investments championed by its government, residents and businesses. For more information visit the City’s website or follow us on Twitter, Instagram or Facebook.

Media Relations