InfoSAWIT, SINGAPURA – Palm oil plantation company where the headquarter is in Singapore, Wilmar International Limited (Wilmar) cooperated last month with ING, the bank in Netherland. The cooperation related to the loan within the sustainable practice as the condition. The numbers reached US$ 150 million.
Wilmar is the first company in Asia that cooperates with ING to increase the sustainability work that is in synergy with the financing. The cooperation becomes the first loan for palm oil industry.
Wilmar is committed to improve the sustainability, social and governance (ESG). The sustainability aspect would be measured and validated by Sustainalytics, and if it succeeds, the interest would be less for the next year. Sustainalyticsis the service to validate the ESG and would trace the work of the company within the indicators of ESG.
“Sustainability is the prior for Wilmar and we keep improving the sustainability work. The cooperation with ING makes the commitment of Wilmar realize the responsible business. We believed, starting from our daily operational to the financing are the keys to create additional value for our stakeholders,” Chief Financial Officer, Wilmar, Ho Kiam Kong said in the official statement to InfoSAWIT.
The concept of sustainable loan is the new approach to green financing covering not only the environment aspect, but also the social and governance.
This is aimed not only to the sustainability aspect but also to five financial incentive. This would support the corporate to increase the work of ESG. “We are happy to bring our commitment and market leadership in Wilmaar to follow the concept. We have network that agree to the sustainability aspect and would find the innovation to empower and support our clients in their way to realize sustainability,” CEO ING,Wholesale Banking Asia, Gerrit Stoelinga said.
ING has cooperated with 8 (eight) clients in Europe about the sustainable green financing since March 2017. This is the transaction of syndication with the technology companies in health, chocolate, cocoa, and the billateral loan with the gas and electricity companies. (T2)