Standard Chartered, the international cross-border bank, has added to its existing suite of transaction banking solutions with the launch of a new ESG-linked Cash Account.
The new Standard Chartered ESG-linked Cash Account links the credit balance interest rate and/or fee pricing in relation to the Cash Account with the client’s ESG-related performance. The selected key performance indicators must be material and relevant to the client’s business, and the associated targets must be ambitious when compared to an external benchmark, peers and/or the client’s previous performance.
The service will be rolled out across the bank’s markets, starting with Hong Kong and Singapore as pilot sites.
Mahesh Kini, global head of cash management at Standard Chartered
“As companies move from ambition to execution on sustainability, banks play an important role in enabling and motivating them on this journey,” said Mahesh Kini, global head of cash management at Standard Chartered. “The launch of our ESG-linked Cash Account is another testament to our commitment to offer our clients solutions that empower them to meet both their treasury and sustainability goals.”
The ESG-linked Cash Account will be joining the Sustainable Account and its Sustainable Trade Finance Proposition as part of Standard Chartered’s transaction banking solutions.
The former of these two solutions allows clients to retain access to their cash for day-to-day liquidity requirements whilst using surplus cash to support activity that contributes to the United Nations Sustainable Development Goals.
Meanwhile, its Sustainable Trade Finance Proposition offers trade finance solutions designed to help clients implement more sustainable practices in their operations and across their ecosystems. Additionally, this includes its Sustainable Financial Institution Trade Loan offering which provides financial institutions with the liquidity needed to support the underlying trade flows associated with sustainable development.
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