Finance institution Standard Bank has successfully closed a $300-million sustainable Tier 2 capital loan.
The facility, concluded with the International Finance Corporation (IFC), marks another significant step towards entrenching Standard Bank’s sustainability commitments, the bank says.
The funding will be allocated to a portfolio of green and social assets – with a specific focus on renewable energy and affordable housing, aligning with the group’s sustainability strategy and commitments to finance renewable energy power plants and social projects in South Africa and across the continent.
The facility is structured as a ten-and-a-half-year term loan.
Standard Bank is focused, primarily through its sustainable finance division, on providing financial products and services that support positive sustainability outcomes, including green and social loans and bonds, sustainability-linked loans and bonds, sustainable trade and working capital solutions and impact investing.
This facility is in line with IFC’s commitment to support and promote South Africa’s transition to a low-carbon, climate-resilient economy, says IFC South Africa country manager Adamou Labara.
“Our partnership with Standard Bank is a testament to our shared vision of a sustainable future and our dedication to advancing economic growth in the country,” Labara says.
“The successful conclusion of this $300-million sustainable loan provides financial resources to enable the bank to continue supporting our customers on their social and environmental journeys. We are delighted to partner with the IFC and drive positive impact across the continent,” says Standard Bank Group Corporate and Investment Banking CE Kenny Fihla.