According to ArabianBusiness, Standard Chartered Bank has lead the coordination of DP World Limited’s repricing and extension of its $2 billion Conventional and Murabaha revolving credit facilities by two years to July 2023. This will be the first green loan in the Middle East in an Islamic format that links pricing to environmental performance.
The margin of the facility will be linked to DP World’s carbon emissions intensity where the company will be incentivised to cut down greenhouse gas emissions.
“As a trade-focused bank that is active in many of the same markets, and with similar views on ensuring that we have a positive impact on economies and communities, Standard Chartered is proud to partner with DP World in a transaction that promotes sustainability,” said Mohamed Salama, head of global banking, Standard Chartered, UAE.
“We are delighted to be the first company in the Middle East region to link environmental performance to pricing in this way. This shows DP World’s pioneering efforts in the region’s capital markets as well as sustainability and innovation,” said Yuvraj Narayan, Group CFO, DP World.
As a global trade enabler, our ambition is to lead the industry for all our stakeholders, and we continue to integrate sustainable best practice into every aspect of our business, which includes finance. By linking our core banking facility to our environmental performance, we will continue to improve our efficiency on greenhouse emissions and show our commitment to sustainability and the environment,” he added.