Hang Seng Bank: Green Business Loans & Support

Hang Seng Bank is rolling out a three-pronged approach to support businesses in their transition to eco-friendly practices.

The initiatives focus on financing, assessments, and education.

Financing the Green Shift

Hang Seng launched the HKD 80 billion Sustainability Power Up Fund. This fund offers a variety of green and sustainable financing solutions for businesses of all sizes and industries. The fund follows established green loan principles, encouraging businesses to cut down on carbon emissions through options like Green Equipment Financing, Social Loans, and Sustainability Linked Loans.

Making Green Assessments Easier and Affordable

Getting green certifications can be a hurdle for businesses seeking sustainable financing due to the associated costs. Hang Seng partnered with the Hong Kong Quality Assurance Agency (HKQAA) to create a unique platform for their commercial customers – the SME Green Equipment Financing Assessment Platform.

This platform slashes assessment fees for green equipment financing by over 90% and streamlines the process. This makes green assessments faster and more affordable, especially for small and medium-sized enterprises (SMEs).

Hang Seng is further incentivising carbon reduction with the Green and Sustainable Financing Assessment Subsidy Programme. Businesses that obtain qualified green certifications from HKQAA or other approved agencies can receive cash rebates on assessment fees when they finance with Hang Seng, up to a maximum of HKD 200,000. This programme applies to businesses applying for loans under HKD 100 million.

Building Green Knowledge Through Education

To raise awareness about sustainable development, Hang Seng established the Hang Seng Carbon Academy. This academy will provide industry-specific green transition workshops, relevant professional training courses, and business networking opportunities to help companies improve their Environmental, Social, and Governance (ESG) performance.

A Commitment to Sustainability

Regina Lee, Head of Commercial Banking of Hang Seng Bank, said, "Hang Seng has been standing side by side with SMEs for many years, serving nearly one-fourth of Hong Kong's SMEs. Sustainable development has become a major trend in business operations, and various types of companies are facing increasingly stringent requirements for ESG or mandatory carbon emission disclosures.

"As the largest local bank, Hang Seng aims to leveraging our experience, expertise and network to launch a series of initiatives covering capital financing, green assessment, and knowledge advocacy. Our goal is to assist companies in moving towards a low-carbon economy, while promoting the development of green and sustainable finance in Hong Kong."

For more sustainable finance news

Discover an extensive network of ESG providers here

Source: Hang Seng Bank