Standard Chartered has announced its adoption of the International Chamber of Commerce's (ICC) recently published Principles for Sustainable Trade Finance. This move makes Standard Chartered the first international bank to align its Sustainable Trade Finance solutions with these global industry principles.
The ICC released these principles in October 2024, aiming to provide clear and consistent guidelines to help banks, corporations, and investors direct capital towards sustainable trade finance facilities. Standard Chartered’s solutions are guided by two frameworks: the Transition Finance Framework and the Green and Sustainable Product Framework 2024, ensuring transparency on transaction criteria and adherence to environmental and social risk standards.
"Standard Chartered first introduced its sustainable trade finance proposition in 2021," stated Sofia Hammoucha, Global Head of Trade & Working Capital at Standard Chartered. "We are committed to offering our clients innovative solutions that empower them to achieve their sustainability goals while effectively managing associated risks."
The ICC Principles offer a methodology for evaluating sustainable trade finance transactions, including a standardized approach for assessing use-of-proceeds in trade finance transactions and enhanced due diligence protocols.
Raelene Martin, Head of Sustainability at ICC, commented: “We are thrilled to welcome Standard Chartered’s adoption of the ICC’s Principles for Sustainable Trade Finance." She emphasized that this step aligns the industry around a common methodology for assessing sustainable trade finance.
Boston Consulting Group (BCG), a strategic partner of ICC since its inception of the Sustainable Trade program, also supports this initiative. Ravi Hanspal from BCG remarked on the significance of accelerating sustainable trade as a means to decarbonize complex supply chains.
To learn more about the ICC Principles for Sustainable Trade Finance, visit www.iccwbo.org. For further information or inquiries regarding this announcement, contact Rami Lawand or Alvina Neo at Standard Chartered or Randa El Tahawy at ICC.