HSBC has launched Green Deposits, which are designed to give corporate clients a simple way to support environmentally-beneficial projects. Green Deposits will initially consist of accounts in the UK and in Singapore, with more planned to launch throughout 2020.
Green Deposit clients will receive a quarterly, portfolio-level view of how their funds have been used to support green projects. The bank says that clients will also be able to manage their green account as simply as a regular deposit account.
The majority of funds deposited will be used by HSBC to provide financing for projects and initiatives such as renewable energy projects, energy efficiency initiatives or biodiversity conservation.
“Many clients want to make a difference but may have limited ability to invest directly in green initiatives,” said Diane S. Reyes, global head of Liquidity and Cash Management at HSBC. “These accounts make it easier for corporates to contribute towards environmentally-beneficial projects by enabling them to put their operating cash towards green purposes. As a group, we’ve made our sustainable finance goals clear, and Green Deposits are further proof of our desire to enable the transition to a low-carbon economy, and to help clients play their part too.”
In November 2017, HSBC made five sustainable finance commitments, including providing US$100bn of sustainable financing by 2025. US$36.7bn has so far been facilitated.
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