Climate Finance

The Bank acknowledges of the risks and impacts of climate change and that a transition is required for the society to shift towards a low-carbon economy. As a financial institution, the Bank can influence and help transform businesses to be more sustainable. Aiming to make finance flows consistent with a pathway towards low greenhouse gas emissions and climate-resilient development. The Bank plans to apply TCFD framework by 2024.

The Bank works closely with Bank of Thailand (BOT) and Thai Bankers’ Association (TBA) to raise the standards for sustainable financing including climate actions for banks in Thailand e.g., defining taxonomy, etc. More than simply a financial facilitator and service provider, the bank plays a proactive role in supporting clients who are looking to develop sustainable business models. These models create benefits both for clients and society without compromising the bank’s bottom line. The bank offers ESG lending to customers in the form of green loans that promote financing to solar energy, biomass energy and waste management projects, as well as sustainability-linked loans with interest rates tied to the borrower’s sustainability performance, which is measured based on social or environmental criteria. Predetermined sustainability-related goals are set and companies that achieve these goals earn benefits such as reduced interest rates.

The Bank is the first Thai commercial bank to issue Green Bond with International Financial Corporation, a member of the World Bank Group (IFC) as sole investor. The proceeds raised from USD 60 million Green Bond (approximately THB 1.8 billion Baht), with a 7-year tenor, have been used exclusively to finance climate- smart projects, particularly renewable energy and energy efficiency projects, in line with the Bank’s green lending expansion plan. It will also provide an alternative source of long-term green finance in the country. Moreover, the Bank will also issue a second bond, raising USD 90 million from IFC, to support SME lending program and increase access to finance for Thailand’s SME, a key contributor to Thailand’s economy.

 

13.8% ESG based fixed income issued per total fixed income products issued in 2018 which accounted for green bond, SME bond, and other ESG based fixed income products 32,407 tonnes estimated GHG emission reduction per year from green bond

Climate Finance

The Bank acknowledges of the risks and impacts of climate change and that a transition is required for the society to shift towards a low-carbon economy. As a financial institution, the Bank can influence and help transform businesses to be more sustainable. Aiming to make finance flows consistent with a pathway towards low greenhouse gas emissions and climate-resilient development. The Bank plans to apply TCFD framework by 2024.

The Bank works closely with Bank of Thailand (BOT) and Thai Bankers’ Association (TBA) to raise the standards for sustainable financing including climate actions for banks in Thailand e.g., defining taxonomy, etc. More than simply a financial facilitator and service provider, the bank plays a proactive role in supporting clients who are looking to develop sustainable business models. These models create benefits both for clients and society without compromising the bank’s bottom line. The bank offers ESG lending to customers in the form of green loans that promote financing to solar energy, biomass energy and waste management projects, as well as sustainability-linked loans with interest rates tied to the borrower’s sustainability performance, which is measured based on social or environmental criteria. Predetermined sustainability-related goals are set and companies that achieve these goals earn benefits such as reduced interest rates.

The Bank is the first Thai commercial bank to issue Green Bond with International Financial Corporation, a member of the World Bank Group (IFC) as sole investor. The proceeds raised from USD 60 million Green Bond (approximately THB 1.8 billion Baht), with a 7-year tenor, have been used exclusively to finance climate- smart projects, particularly renewable energy and energy efficiency projects, in line with the Bank’s green lending expansion plan. It will also provide an alternative source of long-term green finance in the country. Moreover, the Bank will also issue a second bond, raising USD 90 million from IFC, to support SME lending program and increase access to finance for Thailand’s SME, a key contributor to Thailand’s economy.

 

13.8% ESG based fixed income issued per total fixed income products issued in 2018 which accounted for green bond, SME bond, and other ESG based fixed income products 32,407 tonnes estimated GHG emission reduction per year from green bond

Climate Finance

The Bank acknowledges of the risks and impacts of climate change and that a transition is required for the society to shift towards a low-carbon economy. As a financial institution, the Bank can influence and help transform businesses to be more sustainable. Aiming to make finance flows consistent with a pathway towards low greenhouse gas emissions and climate-resilient development. The Bank plans to apply TCFD framework by 2024.

The Bank works closely with Bank of Thailand (BOT) and Thai Bankers’ Association (TBA) to raise the standards for sustainable financing including climate actions for banks in Thailand e.g., defining taxonomy, etc. More than simply a financial facilitator and service provider, the bank plays a proactive role in supporting clients who are looking to develop sustainable business models. These models create benefits both for clients and society without compromising the bank’s bottom line. The bank offers ESG lending to customers in the form of green loans that promote financing to solar energy, biomass energy and waste management projects, as well as sustainability-linked loans with interest rates tied to the borrower’s sustainability performance, which is measured based on social or environmental criteria. Predetermined sustainability-related goals are set and companies that achieve these goals earn benefits such as reduced interest rates.

The Bank is the first Thai commercial bank to issue Green Bond with International Financial Corporation, a member of the World Bank Group (IFC) as sole investor. The proceeds raised from USD 60 million Green Bond (approximately THB 1.8 billion Baht), with a 7-year tenor, have been used exclusively to finance climate- smart projects, particularly renewable energy and energy efficiency projects, in line with the Bank’s green lending expansion plan. It will also provide an alternative source of long-term green finance in the country. Moreover, the Bank will also issue a second bond, raising USD 90 million from IFC, to support SME lending program and increase access to finance for Thailand’s SME, a key contributor to Thailand’s economy.

 

13.8% ESG based fixed income issued per total fixed income products issued in 2018 which accounted for green bond, SME bond, and other ESG based fixed income products 32,407 tonnes estimated GHG emission reduction per year from green bond