The transition to smart cities is imperative for a sustainable future to mitigate environmental degradation.
As governments and industries focus more on sustainability, the financial sector has taken a proactive approach in helping businesses and owners with green finance, working with stakeholders to promote sustainable development results.
Under Malaysia’s 12th Plan (12MP), strategies are in place to reduce greenhouse gas emissions intensity of gross domestic product by up to 45% by 2030 as part of efforts to achieve low-carbon nation status by 2050.
As a leading provider of sustainable finance solutions for the real estate industry, United Overseas Bank (UOB) is committed to supporting sustainable development by integrating environmental, social and governance (ESG) considerations into investment and management decisions. ready.
UOB’s Smart City Sustainable Finance Framework (SCSFF) makes financing solutions more accessible and helps businesses play their role in building smarter, more sustainable cities. By developing industry-specific frameworks and solutions, clients will get a better idea of ​​the criteria that need to be met for sustainability-linked loans and trade finance facilities.
The SCSFF is one of four frameworks that support projects related to sustainable development with an emphasis on renewable energies, energy efficiency, green transport, sustainable water and waste management and / or l adaptation to climate change. UOB also offers the Green Circular Economy Framework, the Sustainable Real Estate Finance Framework, and the Green Trade Finance and Working Capital Framework.
The Real Estate Sustainable Finance Framework supports clients who own and / or develop sustainable properties in accordance with appropriate standards set by local or global green certification bodies.
As part of the UOB SCSFF, U-Solar and U-Energy solutions allow building and home owners to reduce their carbon footprint while saving money on their electricity bills. Businesses and homeowners across the region can undertake renewable energy and energy efficiency projects with UOB ecosystem partners for flexible financing options with minimal up-front cost.
In terms of green transport, UOB has launched U-Drive, a pioneering integrated green financing solution for the electric vehicle (EV) ecosystem. Just launched in Singapore, U-Drive will soon be available in Malaysia, Thailand and Indonesia.
U-Drive will provide users with a full range of green banking services, including trade finance and dealer equity finance, while connecting users to car dealerships and charging point operators.
By leveraging these frameworks, companies are guided through a fast and transparent process for sustainable financing. This sets standards for impact reporting, saves them resources without having to invest heavily in setting up their own framework and encourages them to continue their innovative and sustainable activities.
UOB has simplified the process by giving clients specific industry insights and knowledge, frameworks that provide a streamlined and transparent process from qualification to reporting, personalized solutions and connecting them to industry players through our ecosystem partnerships.
As more and more companies integrate ESG into their strategies, UOB offers companies with clear ESG programs a way to take specific actions to achieve these goals.
