Sustainable finance for large corporates


Back to Banking for Large Corporates

It takes a collective effort to achieve a cleaner future. We aim to do our part by empowering businesses to engage in sustainable practices. Our commitment includes providing financing and investment to reduce carbon-intensive activities and support the development of new energy sources.

What is sustainable finance?

We define sustainable finance or green finance as any form of financial service that takes into account environmental, social and governance criteria when making business or investment decisions. This practice aligns with the UN Sustainable Development Goals, and in particular, the focus on combating climate change.

The threat of climate change

A rapidly changing climate is an unprecedented and irreversible threat to habitats, societies and economies globally. In 2016, almost 200 leaders signed the Paris Agreement, committing countries to keep the global average temperature rise to below 2 degrees Celsius above pre-industrial times by reducing emissions.

To provide a 66% chance of meeting this goal, an estimated USD100trillion of investment is needed in new green infrastructure over the next 15 years. We recognise the critical role finance has to play and we aspire to be a leading global partner in financing, managing and shaping the transition to a low-carbon world.

Your partner for sustainable growth

  • HSBC won the award of World’s Best Bank for Sustainable Finance for the second consecutive year at the Euromoney Awards for Excellence 2020.
  • We offer green financing solutions to help you meet your sustainable development goals and boost your ESG profile.
  • Our sustainable finance framework is aligned to the Loan Market Association’s Green Loan Principles and we have an ‘A’ rating.

Your sustainable journey with us

Our key objective is to provide you with sufficient funds to manage the risks involved in transitioning to a low-carbon economy. We offer credit and lending facilities, advisory services and access to capital markets.

Together we can drive a greener future by developing the new energy sources, technology, infrastructure or sustainable business practices needed for a cleaner future.

Green bonds

We play an important role in shaping the green bond market. We are a member of the International Capital Market Association’s executive committee for the Green Bond Principles, a set of voluntary standards for issuers of green bonds.

HSBC ranked first in Climate Bonds Initiative’s global green bond underwriter league tables in H1 2019, serving as the top green bond underwriter both globally (almost USD6bn of issuance) and in emerging markets (over USD2bn). Learn more about this event at our green and sustainable bonds page.

Sustainable investments

As investors increasingly apply environmental, social and governance criteria to financial decisions, we are actively developing our range of products and services to support the growth of sustainable investments.

Our key Sustainable Finance commitments

Providing between USD750 billion and USD1 trillion of financing and investment by 2030

We strive to continue funding the development of clean energy, lower-carbon technologies and projects that contribute to the delivery of the Paris Agreement and the UN Sustainable Development Goals.

We announced our ambition to become a net zero bank by 2050

To achieve our ambition to be a net zero bank, we can make changes both in our own operations and for our customers through our financing portfolio. We aim to bring our operations and supply chain to net zero by 2030 or sooner, and align our financed emissions to the Paris Agreement goal to achieve net zero by 2050 or sooner.

Reducing our exposure to thermal coal

To achieve this, we will discontinue the financing of new thermal coal mines and new customers dependent on thermal coal mining, while actively managing the transition for other high-carbon sectors.

Adopting the recommendations of the Task Force on Climate-related Financial Disclosures

We will be taking the 2018 report as our base for identifying and disclosing the climate-related risks and opportunities across our businesses.

Establishing a Centre of Sustainable Finance

Doing so will help to unlock the capital flows needed to address the major sustainability challenges in the world, and maintain our thought leadership on the role of the financial services sector in the fight against climate change.

Managing sustainability risk

We ensure that the financial services we provide do not result in an unacceptable impact on people or the environment and regularly review our policies to ensure that they address new and emerging risks as well as stakeholder concerns. HSBC is a signatory to the Equator Principles and work with businesses to improve their sustainability practices.

Does your business plan have more room for the planet?

Kickstart your net zero journey with us.

How can we help today?

Centre of Sustainable Finance

HSBC’s Centre of Sustainable Finance leads and shapes the debate on sustainable financing and investing. The centre publishes research reports covering key themes such as greening the Belt and Road Initiative, energy evolution and climate change risk assessment.

Find out more about HSBC large corporates

With high levels of fixed assets and operating leverage, long-term financing is critical to your business. To succeed, you need a capital structure that can withstand movements in the financial markets and thrive over an extended growth cycle.

The ability to process high volumes of payables and receivables is important to the success of your business.

Are you looking to grow your business by increasing production and expanding into new products or markets?

With more than 140 years of experience in Singapore serving large corporates, HSBC has the expertise and global connections to support your business’s growth plans. Our services and solutions are tailored to meet the needs of large corporates from a wide range of sectors and financial needs.

When your business spans multiple markets, managing working capital across these and having visibility of your global or regional operations is critical. Our streamlined digital banking platform, HSBCnet, provides a centralised overview of your business finances and helps you better control your financial risk position wherever you trade.

As a business powered by human knowledge and expertise, salaries and expenses account for most of your outgoings. However, buyers of your services aren’t always prompt in paying your invoices. What solutions can you tap on to grow your business while financing this shortfall?

From services and retail companies to manufacturers and real estate conglomerates, our banking solutions have been designed to meet the requirements of a wide range of companies based in Singapore.

Need help?

Get in touch to learn more about our banking solutions and how we can help you drive your business forward.