CDL, DBS launch S$300 million green loan to advance nature-based solutions in Singapore
It will be used for general corporate funding and working capital purposes, among others
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[SINGAPORE] City Developments Limited (CDL) has secured a new S$300 million multicurrency sustainability-linked loan (SLL) provided by DBS, a bourse filing on Friday (May 15) said.
The aim of the venture is to accelerate the adoption of nature-based urban development solutions in Singapore.
The loan will be used for general corporate funding and working capital purposes, including asset redevelopment and sustainability initiatives.
A statement said the new SLL was structured in line with sustainability-linked loan principles and introduces a comprehensive suite of sustainability performance targets focused on strengthening climate and nature resilience in urban systems.
Hence, it is in line with the Singapore Green Plan 2030.
Targets include scaling urban farming initiatives, establishing and/or expanding microforests with predominantly native species, and enhancing stakeholder engagement on climate and nature.
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Yiong Yim Ming, group chief financial officer at CDL, said that sustainable financing is a catalyst for growth and “an important enabler” in accelerating the transition towards a low-carbon and more climate-resilient future.
“This latest SLL reflects the next evolution of our sustainability journey, embedding measurable nature-based targets into our financing framework and further aligning our financial strategy with environmental outcomes,” he added.
“As a developer, real estate can play an important role in advancing climate action and shaping a greener, more resilient and more liveable urban environment.”
It is the second partnership involving an SLL between the two parties – the first being the Taskforce on Nature-related Financial Disclosures (TNFD) targets-aligned SLL issued in June 2024, with a S$400 million value.
Launched in September 2023, the TNFD framework is a set of global standards and guidelines designed to help businesses effectively integrate nature and biodiversity considerations into corporate decision-making.
This in turn enables greater transparency, accountability and more consistent measurement in nature-related financial disclosures.
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