SEOUL, Sept. 29 (Yonhap) — The state-run Korea Development Bank (KDB) said Monday it has locally issued green bonds worth 200 billion won (US$171 million).

The won-denominated green bonds, which were sold to domestic institutional investors, will come due in three years and carry an annual interest rate of 1 percent.

Green bonds are designed to raise money to support environmental projects and other eco-friendly infrastructure schemes.

The state development lender said the proceeds will be used to provide financing for low-carbon, green projects, including photovoltaic power generation and eco-friendly transportation.