Enterprise Financing Scheme - Green

Enterprise Financing Scheme - Green


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Enterprise Financing Scheme - Green

To support Singapore businesses in capturing new opportunities in the green economy, Enterprise Singapore has launched an Enterprise Financing Scheme – Green (EFS – Green) with partner financial institutions to enable better access to green financing for enterprises developing technologies and solutions to reduce waste, resource use or greenhouse gas emissions. HSBC is the only international bank participating in this scheme.

Under the EFS-Green, we will extend financing for five loan types: Green Development Capital, Fixed Assets, Trade Financing, Project Loans and Mergers & Acquisitions.

Loan Type

Supportable Areas

Maximum Loan Quantum / borrower*

Development Capital

Expenses related to green initiatives

  • New product development
  • Technology development expenses
  • Consultation & certification fees

S$3 million

Fixed Assets Loan

  • Purchase of equipment and machinery related to green initiatives
  • Construction of factories or purchase of land related to green initiatives

S$30 million

Trade Loan

Trade financing for green and sustainable products, inventory and raw materials

S$10 million

Project Loan

Finance the fulfilment of overseas and domestic green projects

S$50 million

Mergers & Acquisition Loan

Finance the mergers and acquisition of target enterprises related to green initiatives

S$50 million

Note: Total overall borrower group1 limit exposure is S$50 million for EFS-Green and EFS.

Eligibility

1.Be a business entity2 that is registered and physically present in Singapore

2. At least 30% local equity held directly or indirectly by Singaporean(s) and/or Singapore PR(s), determined by the ultimate individual ownership, and

3. Have Group Annual Sales Turnover of not more than S$500 million, and

4. Meet the criteria in both Qualifying Green Sectors & Activities and Qualifying Borrower Types for EFS-Green.

The EFS-Green scheme is a direct, measurable scheme which will channel capital towards eligible businesses that are working towards the shift to a lower carbon economy. The firms of the future will be those with the foresight to mitigate and adapt now in order to thrive.

Regina Lee | Head of Commercial Banking, HSBC Singapore

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