Standard Chartered Raises €1B for Social Impact
In a landmark move for sustainable finance, Standard Chartered Plc has successfully raised €1 billion (~₹9,400 crore) through its first-ever social bond to support low-income countries. With India set to receive 57% of the funds, this initiative aims to accelerate SME lending, job creation, infrastructure development, and financial inclusion in emerging economies.
The eight-year social bond aligns with Standard Chartered’s Sustainability Bond Framework, ensuring that capital is directed toward critical sectors such as:
- SME financing : Creating jobs and supporting economic resilience.
- Women-owned businesses : Empowering female entrepreneurs with funding access.
- Healthcare & education: Expanding essential services for underserved communities.
- Basic infrastructure: Investing in sustainable urban development and food security.
India to Receive 57% of Funds for SMEs & Infrastructure
According to Diego De Giorgi, Standard Chartered’s group CFO, this bond issuance marks a major milestone in mobilizing private capital for inclusive economic growth.
“Our first social bond issuance demonstrates our unique ability to raise capital globally and deploy it where sustainable finance is most needed,” he said.
The top five recipients of social assets from this bond include:
- India – 57%
- Malaysia – 10%
- Bangladesh – 6%
- Mainland China – 5%
- Nepal – 4%
A Game Changer for Emerging Markets
With $4.2 trillion needed annually for sustainable development in emerging markets, Standard Chartered’s social bond boosts capital flow and ensures a positive long-term impact.
This initiative highlights the growing global commitment to responsible investing, reinforcing Standard Chartered’s leadership in sustainable finance. As more financial institutions follow suit, the future of social impact investing looks promising.
By bridging economic gaps and fostering social progress, this bond is more than just an investment—it’s a step toward a more equitable and sustainable world.
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