(13 August 2024 – Singapore) Standard Chartered has announced the launch of a new environmental, social and governance (ESG) linked Cash Account for corporate banking clients.
The new solution rewards clients for meeting material ESG related targets. The solution will be gradually rolled out across the Bank’s markets, starting with Hong Kong and Singapore as pilot sites, with roll-out to further markets expected to follow.
The new ESG-linked Cash Account links the credit balance interest rate and fee pricing in relation to the Cash Account with the client’s ESG-related performance. The selected key performance indicators must be material and relevant to the client’s business, and the associated targets must be ambitious when compared to an external benchmark, peers and/or the client’s previous performance.
The introduction of the ESG-linked Cash Account builds on Standard Chartered’s existing suite of Transaction Banking solutions, such as the Sustainable Account, Sustainable Trade Finance Proposition and Sustainable Financial Institution Trade Loan offering.
“As companies move from ambition to execution on sustainability, banks play an important role in enabling and motivating them on this journey. The launch of our ESG-linked Cash Account is another testament to our commitment to offer our clients solutions that empower them to meet both their treasury and sustainability goals” stated Standard Chartered Global Head of Cash Management, Mahesh Kini.