DBS launches innovative financing solution for SMEs to advance sustainability agendas
Singapore.25 Oct 2023
Hybrid solution to incentivise more sustainable renovations amongst SMEs
Singapore, 25 Oct 2023 - DBS today announced a first-of-its-kind hybrid financing solution to help small and medium enterprises (SMEs) access a wider pool of capital to finance their sustainability journeys. The DBS Eco Renovate Loan enables SMEs to borrow up to 100% of the cost of using resource efficient or energy optimisation solutions for a green renovation, at preferential rates. Companies can also choose to bundle the loan with a traditional commercial loan[1]to finance their total renovation needs.
Koh Kar Siong, Group Head of Corporate and SME Banking, DBS, said: “SMEs are increasingly aware of the need to embed sustainable practices into their businesses, to better compete in a green economy. Yet, most sustainable financing initiatives are geared towards larger corporates as these companies have access to the data, resources and know-how to track and measure their progress. The Eco Renovate Loan aims to bridge this financing gap by offering SMEs a simple, effective solution to kickstart their sustainability journeys.”
The Eco Renovate Loan is structured in line with internationally recognised Green Loan Principles[2], and is the latest in a suite of financing solutions, including electric vehicle financing, sustainable trade financing and renewable energy financing, by DBS to help accelerate the adoption of sustainability solutions by SMEs.
Companies and contractors use a simplified checklist to identify, track, and implement sustainability-related initiatives in their renovation project. Companies must submit a pre-renovation checklist with supporting documents such as quotations, as well as invoices as proof of work done after the project is complete.
Financing is just one area in which DBS is partnering SMEs to help them compete and grow in the green economy. DBS recently announced a new two-year collaboration with SkillsFuture SG to offer sustainability skills training. Companies can also participate in a progressive four-stage programme under the bank’s ‘ESG-ready’ initiative, where they can learn to develop a sustainability strategy; and implement their action plan with the necessary tools and solutions. Companies can then validate their ESG performance through independent third-party assurance and reporting.
For more information, visit: https://www.dbs.com.sg/sme/finance-better/eco-renovate-loan
[1] Up to 80% of renovation costs, at prevailing commercial rates
[2] https://www.lsta.org/content/green-loan-principles/
About DBS
DBS is a leading financial services group in Asia with a presence in 19 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 Global Finance, “World’s Best Bank” by Euromoney and “Global Bank of the Year” by The Banker. 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 and the world’s “Most Innovative in Digital Banking” by The Banker. In addition, DBS has been accorded the “Safest Bank in Asia” award by Global Finance for 15 consecutive years from 2009 to 2023.
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, as it banks the Asian way. Through the DBS Foundation, the bank creates impact beyond banking by supporting social enterprises: businesses with a double bottom-line of profit and social and/or environmental impact. DBS Foundation also gives back to society in various ways, including equipping communities with future-ready skills and building food resilience.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit www.dbs.com.
Koh Kar Siong, Group Head of Corporate and SME Banking, DBS, said: “SMEs are increasingly aware of the need to embed sustainable practices into their businesses, to better compete in a green economy. Yet, most sustainable financing initiatives are geared towards larger corporates as these companies have access to the data, resources and know-how to track and measure their progress. The Eco Renovate Loan aims to bridge this financing gap by offering SMEs a simple, effective solution to kickstart their sustainability journeys.”
The Eco Renovate Loan is structured in line with internationally recognised Green Loan Principles[2], and is the latest in a suite of financing solutions, including electric vehicle financing, sustainable trade financing and renewable energy financing, by DBS to help accelerate the adoption of sustainability solutions by SMEs.
Companies and contractors use a simplified checklist to identify, track, and implement sustainability-related initiatives in their renovation project. Companies must submit a pre-renovation checklist with supporting documents such as quotations, as well as invoices as proof of work done after the project is complete.
Financing is just one area in which DBS is partnering SMEs to help them compete and grow in the green economy. DBS recently announced a new two-year collaboration with SkillsFuture SG to offer sustainability skills training. Companies can also participate in a progressive four-stage programme under the bank’s ‘ESG-ready’ initiative, where they can learn to develop a sustainability strategy; and implement their action plan with the necessary tools and solutions. Companies can then validate their ESG performance through independent third-party assurance and reporting.
For more information, visit: https://www.dbs.com.sg/sme/finance-better/eco-renovate-loan
[1] Up to 80% of renovation costs, at prevailing commercial rates
[2] https://www.lsta.org/content/green-loan-principles/
About DBS
DBS is a leading financial services group in Asia with a presence in 19 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 Global Finance, “World’s Best Bank” by Euromoney and “Global Bank of the Year” by The Banker. 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 and the world’s “Most Innovative in Digital Banking” by The Banker. In addition, DBS has been accorded the “Safest Bank in Asia” award by Global Finance for 15 consecutive years from 2009 to 2023.
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, as it banks the Asian way. Through the DBS Foundation, the bank creates impact beyond banking by supporting social enterprises: businesses with a double bottom-line of profit and social and/or environmental impact. DBS Foundation also gives back to society in various ways, including equipping communities with future-ready skills and building food resilience.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit www.dbs.com.
