DBS grows its sustainable financing footprint with maiden green loans in India totalling over INR 10.5 billion
Singapore.18 Nov 2020
Both green loans are also the first to be issued in India by a Singapore bank
Singapore, 18 Nov 2020 - DBS announced today that it has issued its first two green loans in India totalling INR 10.5 billion (SGD 199.6 million) to CapitaLand, breaking new ground for the bank’s sustainable financing agenda.
The two green loans issued to CapitaLand were:
Both green loans were structured in alignment with the Asia Pacific Loan Market Association’s Green Loan Principles and are the first in India to be issued by a Singapore-based lender.
DBS Group Head of Institutional Banking Tan Su Shan said that since 2018, DBS has concluded over 100 sustainable financing deals worth about SGD 15 billion, with India being a promising market with ample opportunities to go green. Across Asia, DBS has been tapping its experience in structuring landmark sustainable financing deals to help forward-looking companies, such as CapitaLand, incorporate sustainable practices into their business strategy. “We see immense potential for growth in Asia’s sustainable financing market as companies look to furthering their sustainability agenda through responsible financing practices. In becoming the first Singapore bank to finance green loans in India, we are also establishing Singapore as a regional sustainable financing hub with the expertise and experience to forge meaningful partnerships for a more sustainable Asia.”
To drive further progress in Asia’s sustainable financing landscape, DBS advocates scaling up transition finance and supporting clients in adopting incremental and instrumental solutions – all of which are necessary to broaden and deepen the market. The World Economic Forum estimates that there is a USD 2.5 trillion annual financing gap that stands in the way of the international community achieving United Nations Sustainable Development Goals.
DBS continues to be ranked first in Bloomberg’s Asia (ex Japan) League Table for Green Loans as at the end of October 2020 for its role as Mandated Leader Arranger. This speaks to DBS’ industry-leading role in supporting companies in advancing corporate sustainability.
About DBS
DBS is a leading financial services group in Asia with a presence in 18 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.
Recognised for its global leadership, DBS has been named “World’s Best Bank” by Euromoney, “Global Bank of the Year” by The Banker and “Best Bank in the World” by Global Finance. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “World’s Best Digital Bank” by Euromoney. In addition, DBS has been accorded the “Safest Bank in Asia” award by Global Finance for 12 consecutive years from 2009 to 2020.
DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets. DBS is committed to building lasting relationships with customers, and positively impacting communities through supporting social enterprises, as it banks the Asian way. It has also established a SGD 50 million foundation to strengthen its corporate social responsibility efforts in Singapore and across Asia.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. The bank acknowledges the passion, commitment and can-do spirit in all of our 29,000 staff, representing over 40 nationalities. For more information, please visitwww.dbs.com.
The two green loans issued to CapitaLand were:
- A three-year INR 4.25 billion (SGD 80.8 million) loan to refinance construction financing for the development of Phase 1 of International Tech Park Gurgaon (ITPG) and other general corporate purposes related to the project. Located in Gurgaon, ITPG is an 8 million square feet superior business space to be developed in phases. Phase 1, offering 1 million square feet, is already operational catering to leading IT organisations. Phase 2, currently under development, will offer 700,000 square feet of net leasable area, and is targeted for completion in 1Q 2022. ITPG has obtained a pre-certified Platinum rating under the LEED (Leadership in Energy and Environmental Design) green building rating system administered by the US Green Building Council; and
- A four-and-a-half-year INR 6.25 billion (SGD 118.8 million) loan to finance construction costs for Phase 1 of International Tech Park, Radial Road (ITPC-RR). Located along Chennai’s IT corridor, ITPC-Radial Road has 4.6 million square feet of development potential for premium Grade A office space to cater to 45,000 professionals. The IT park’s first phase will comprise two buildings, offering a net leasable area of 1.25 million square feet for IT and IT-enabled services companies. The first and second blocks will be operational by 4Q 2022 and 2Q 2024 respectively. ITPC-RR has obtained a pre-certified Platinum rating as assessed by the Indian Green Building Council.
Both green loans were structured in alignment with the Asia Pacific Loan Market Association’s Green Loan Principles and are the first in India to be issued by a Singapore-based lender.
DBS Group Head of Institutional Banking Tan Su Shan said that since 2018, DBS has concluded over 100 sustainable financing deals worth about SGD 15 billion, with India being a promising market with ample opportunities to go green. Across Asia, DBS has been tapping its experience in structuring landmark sustainable financing deals to help forward-looking companies, such as CapitaLand, incorporate sustainable practices into their business strategy. “We see immense potential for growth in Asia’s sustainable financing market as companies look to furthering their sustainability agenda through responsible financing practices. In becoming the first Singapore bank to finance green loans in India, we are also establishing Singapore as a regional sustainable financing hub with the expertise and experience to forge meaningful partnerships for a more sustainable Asia.”
To drive further progress in Asia’s sustainable financing landscape, DBS advocates scaling up transition finance and supporting clients in adopting incremental and instrumental solutions – all of which are necessary to broaden and deepen the market. The World Economic Forum estimates that there is a USD 2.5 trillion annual financing gap that stands in the way of the international community achieving United Nations Sustainable Development Goals.
DBS continues to be ranked first in Bloomberg’s Asia (ex Japan) League Table for Green Loans as at the end of October 2020 for its role as Mandated Leader Arranger. This speaks to DBS’ industry-leading role in supporting companies in advancing corporate sustainability.
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About DBS
DBS is a leading financial services group in Asia with a presence in 18 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.
Recognised for its global leadership, DBS has been named “World’s Best Bank” by Euromoney, “Global Bank of the Year” by The Banker and “Best Bank in the World” by Global Finance. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “World’s Best Digital Bank” by Euromoney. In addition, DBS has been accorded the “Safest Bank in Asia” award by Global Finance for 12 consecutive years from 2009 to 2020.
DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets. DBS is committed to building lasting relationships with customers, and positively impacting communities through supporting social enterprises, as it banks the Asian way. It has also established a SGD 50 million foundation to strengthen its corporate social responsibility efforts in Singapore and across Asia.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. The bank acknowledges the passion, commitment and can-do spirit in all of our 29,000 staff, representing over 40 nationalities. For more information, please visitwww.dbs.com.
