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UPDATE 1-RBS raises 750 mln euros from 'social bond'

Reuters - UK Focus

LONDON, Nov 8 (Reuters) - Royal Bank of Scotland launched the first "social bond" by a British lender on Friday, which it said would help support lending to small businesses in some of the country's most deprived areas.

RBS raised 750 million euros ($827 million), after engaging with potential investors during a roadshow this week.

The bond is linked to around 2.5 billion pounds ($3.2 billion) of lending to small firms in disadvantaged areas and is the first to be issued under its new green, social and sustainability framework for bonds, the bank said.

Rescued by the government in 2008, RBS is currently 62% state owned.

($1 = 0.7808 pounds)

($1 = 0.9074 euros) (Reporting by Iain Withers; editing by Simon Jessop)