True to its commitment to sustainability and the environment, BBVA has launched a €20 million new line of green loans for customers interested in purchasing electric or hybrid cars. This new product seeks to meet a growing demand from society, increasingly aware of the fight against climate change.
Sustainability and Responsible Banking
Sustainability and Responsible Banking
This Wednesday, BBVA successfully completed its second green bond issue in the wholesale debt market – the first one was in May 2018 – for the same amount, €1 billion, and with the same instrument and maturity. The transaction drew a very positive reaction from investors, with book orders exceeding €2.7 billion, a figure similar to the one reached last year. Excess demand made it possible to lower the price to mid-swap plus 103 basis points, from the initial range set at 120-125 basis points. This price entails a new zero new issue premium, just as in its first green bond issue.
In collaboration with Impact Hub Istanbul, the 10 social entrepreneurs will participate in online and classroom-based learning that will contribute to their business growth plans, and strategic mentoring-support and networking activities that include other entrepreneurs, customers and investors.
Roughly half the world’s population still lives on only the equivalent of two U.S. dollars per day, whereas worldwide unemployment stands at 5.7 percent. This might seem like a low percentage, but in many parts of the world, merely having a job does not translate into being able to escape poverty. The eradication of poverty depends on all parts of society having access to stable employment and decent wages. This is the objective of United Nations Sustainable Development Goal 8: “Promote inclusive and sustainable economic growth, employment, and decent work for all,” a goal BBVA works toward each day, not only internally in its relationship with its employees, but also with a business model that more broadly contributes to its fulfillment.
BBVA launches a line of loans for developers dedicated to the construction of highly energy efficient homes. This product further demonstrates BBVA’s solid commitment to sustainability and green financing.
A commitment to sustainable development is the best guarantee for a better future. All measures aimed at improving energy efficiency and increasing the use of renewable energy are welcome in this undertaking. This is precisely the objective of the United Nations seventh Sustainable Development Goal (SDG): to ensure access to affordable, reliable, sustainable and modern energy for all, an objective that BBVA is also actively supporting.
According to BBVA, knowledge, education, and culture are fundamental drivers for the creation and development of opportunities for individuals. In 2018 alone, the bank invested €75.5 million in these areas, helping 3.8 million people.
At the International Integrated Reporting Council (IIRC) 2019 Global Conference, Garanti BBVA presented their 2018 annual consolidated report, which emphasized how important empathy is to the bank’s corporate culture and how this influences their approach to customers,clients and employees. Sinem Ozonur, BBVA Head of Consolidated Reporting at Garanti BBVA, was the first representative from a Turkish company to take the stage and address some of the more note-worthy topics.
In recent years, society has become increasingly aware of the importance of climate change. The not so remote hazards it poses to our current way of life make changes in current policies necessary. The financial industry is joining forces in the fight against climate change through sustainable finance. Sustainable loans are one of the key tools, and banks play a decisive role when they act as sustainable agents for these loans. But what does this actually entail?