Standard Bank, in collaboration with the International Finance Corporation (IFC), has successfully closed a USD 250 million sustainable term loan, reinforcing the bank’s commitment to sustainability. The funds from this facility will be allocated to a portfolio of green and social assets, with a specific focus on renewable energy and affordable housing initiatives. The seven-year term loan aligns with Standard Bank’s sustainability strategy, aiming to finance renewable energy power plants and social projects both in South Africa and across the continent.
Through its sustainable finance division, Standard Bank is dedicated to providing financial products and services that promote positive sustainability outcomes, such as green and social loans and bonds, sustainability-linked loans and bonds, sustainable trade solutions, working capital solutions, and impact investing.
Sasha Cook, Head of Sustainable Finance at Standard Bank Group, expressed that this treasury transaction with the IFC not only supports green and social assets but also marks the first sustainable loan concluded by IFC with a commercial bank in South Africa. The loan will foster positive environmental and social impact, facilitating the growth of renewable energy projects and offering financing solutions for individuals seeking affordable housing.
Adamou Labara, IFC Country Manager for South Africa, emphasized that increased access to climate and affordable housing finance will contribute to sustainable and inclusive economic growth in the country. The partnership with Standard Bank will aid South Africa’s transition to a low-emissions, climate-resilient economy and enhance access to affordable housing, ultimately improving the quality of life for its citizens.
Kenny Fihla, Chief Executive for Corporate and Investment Banking at Standard Bank Group, reiterated the bank’s focus on renewable energy and affordable housing, highlighting the potential positive environmental and social impacts that these initiatives will bring to Africa.