OCBC Increases Sustainable Finance Target to S$25 billion by 2025
(23 June 2020 – Singapore) OCBC has set a new goal of S$25 billion by 2025 for its sustainable finance portfolio, having surpassed its original S$10 billion target in the first quarter of 2020 – two years ahead of schedule.
The Bank participated in more than 20 green and sustainability-linked loans including renewable energy projects such as solar, onshore wind and offshore wind projects in markets like Taiwan, China, United Kingdom, Australia and Malaysia. OCBC has acted as sustainability adviser or coordinator for more than 10 of these projects. This follows OCBC’s announcement in April last year that the Bank would no longer finance new coal-fired power plants. To achieve its new goal, OCBC will focus on industries with high growth potential including renewable energy, clean transportation, education, water and waste management.
“Singapore has been developing its capabilities as a regional sustainable finance hub, and businesses around the region – Myanmar, Malaysia, Taiwan, Hong Kong, Korea, Japan and Australia – are increasingly looking to tap on this expertise,” according to the statement.
“The awareness and interest in sustainable projects has been increasing over the last few years, and COVID-19 has helped to draw attention to wider sustainability issues, including social ones. In the wake of the pandemic, the collective action taken by both the public and private sectors can help to rebuild economies in a more sustainable fashion,” said OCBC Head of Structured Finance and Sustainable Finance Mike Ng.