BNP Paribas partners Ant Group for sustainable finance credit facility

BNP Paribas has signed an agreement with China’s Ant Group on a bilateral sustainability linked credit facility arrangement that will support Ant Group in implementing its ESG strategy and carbon neutrality roadmap.

Under the terms of the agreement, the French banking giant will offer revolving credit lines to Ant Group that come with a “two-way interest rate adjustment mechanism” tied to a number of the Company’s SPTs (Sustainability Performance Targets).

As an example, the SPTs stipulate that Ant Group will adhere to the company’s green and sustainable development commitments, including those on reaching carbon neutrality, using renewable energy and donating a certain percentage of the company’s annual sales revenue to biodiversity conservation and environmental protection projects.

Each year, the Bank will verify these SPTs using Carbon Matrix, AntChain’s enterprise carbon management SaaS (software-as-a-Service) product.

Carbon Matrix is built upon blockchain technology which ensures that the verification process is transparent and tamperproof.

If the SPTs are met, the interest rate on the SLL will be lowered, if they are not, the interest rate will be raised. The arrangement is designed to incentivize companies to actively implement their sustainable commitments.

BNP Paribas’ partnership with Ant Group comes after the company announced in April that it has achieved carbon neutrality in its own operations since 2021, and is on track to reach net-zero in all carbon emissions throughout the company’s value chain by 2030.

Commenting on the move, CG Lai, chief executive of BNP Paribas China, commented: "The financial services industry has an important role to play in driving the real economy towards China’s ESG and 'dual carbon' goals.

“Sustainability is deeply embedded across all aspects of BNP Paribas, from our long-term strategy to everyday operations, and Ant Group is an avid advocate for ESG development globally. Our similar vision for a sustainable future has laid the foundation for more joint achievements and innovations across sustainable finance in the future”

    Share Story:

Recent Stories


New Business Frontiers
FStech’s Mark Evans discusses the future of financial services with Liu Jianning of Huawei, covering the limitations that current thinking can impose, how financial institutions can embrace technology to be both agile and resilient, and making space for the organisation to focus on the job of creating innovative business models and on delivering business value for their customers.

The Future of Intelligent Finance
FStech Group Editor Mark Evans sits down with Jason Cao, President of Global Financial Services Business Unit, Enterprise BG at Huawei ahead of its Intelligent Finance Summit which was held on 3rd and 4th of June in Shanghai. This Q&A delves into key trends in digital transformation of the financial services industry as well as a look at how data, robotic infrastructure, intelligent storage and innovative technologies are shaping the future for FSIs.

Cracking down on fraud
In this webinar a panel of expert speakers explored the ways in which high-volume PSPs and FinTechs are preventing fraud while providing a seamless customer experience.