A billion dollar ambition to tackle climate change in Southeast Asia

30 September 2021

HSBC.com

We’ve announced a new partnership that will deliver finance for sustainable infrastructure to some of the countries most vulnerable to global warming.

In partnership with Temasek, an investment company headquartered in Singapore, we are establishing a new debt financing platform that will focus on Southeast Asia initially and deploy funding for projects that would otherwise go unfunded.

We will target renewable energy and storage, water and waste treatment and sustainable transport projects to help meet carbon reduction targets and build resilience to offset the impact of climate change.

Over five years, our ambition for the venture is to deploy blended public and private financing to dispense more than USD1 billion in loans, and build a pipeline of sustainable infrastructure projects and develop them to scale.

Taking responsibility

In the fight against climate change, sustainable infrastructure is one of the greatest needs, particularly in Asia. As a market leader in sustainable finance and Asia’s leading international bank, we have a responsibility, and are taking this opportunity, to lead this charge.

Earlier this month, we launched the FAST-Infra label with our partners to enable investors to understand quickly whether a project is truly sustainable. This latest collaboration will allow for faster funding of that sustainable infrastructure.

With both HSBC and Temasek initially investing a combined USD150 million, our new venture will provide early stage funding to attract additional capital. We will work alongside our strategic partners – the Asian Development Bank and Clifford Capital Holdings – to manage the platform and benefit from their project expertise.

This is the latest in a number of collaborations around sustainability that we believe will benefit our clients and communities environmentally. It sits alongside HSBC Pollination Climate Asset Management (opens in new window) (opens in new window) and the Climate Solutions Partnership as proof of our willingness to work with others to overcome barriers and accelerate the low carbon transition in new and innovative ways.

Read the media release: HSBC and Temasek Launch Partnership to Catalyse Sustainable Infrastructure Projects in Asia