Our Green Loans allow borrowers to finance environmentally focused corporate initiatives. These loans are structured to meet the requirements of the Green Loan Principles set out by the Loan Markets Association. Some examples of eligible activities include:
- Renewable energy and energy efficiency projects;
- Pollution prevention and control;
- Clean transportation;
- Green buildings; and
- Sustainable water and wastewater management.
Through our Sustainability-Linked Loans, clients can link their sustainability strategy and goals to their financing. These loans are structured to allow clients to use the funds for general corporate purposes with the cost of financing linked directly to specific ESG performance targets. The structure of these loans is guided by the Sustainability Linked Loan Principles.
Clients looking to quantify and showcase their commitment to sustainability may also consider ESG-Themed Bonds such as Green Bonds, Social Bonds, Transition Bonds and Sustainability-Linked Bonds. These bonds can provide access to competitive cost of capital in the debt markets.
CIBC’s inaugural Green Bond was developed to help raise capital and support investments for projects with environmental and climate change benefits as outlined in our Green Bond framework. For institutional clients looking to invest in companies committed to women in leadership roles, we offer the Women in Leadership Bond. Both frameworks were developed in line with the International Capital Market Association’s Principles and were reviewed by Sustainalytics who provided a second-party opinion that our frameworks are aligned with market expectations and industry best practices.
We’re also at the forefront of helping create and establish guidelines on Transition Finance. To achieve the goals of the Paris Climate Agreement, hard-to-abate carbon intensive industries will need to transition their activities to be net-zero by 2050. These transition finance guidelines will help investors, companies and financial intermediaries in channeling and accessing capital to achieve these goals.
To learn more about our sustainable finance products and services, please visit our CIBC Capital Markets, Sustainable Finance website Opens in a new window..