- Deutsche Bank and Home Credit Indonesia has announced ESG-linked loan facility that focuses on performance targets linked to ESG principles
- Deal is worth IDR156 billion (US$10.4 million)
- loan’s performance targets are primarily focused on financial inclusion and literacy
- Transaction will be second in row, after ESG loan to Home Credit Philippines
Deutsche Bank and Home Credit Indonesia has announced ESG-linked loan facility that focuses on performance targets linked to ESG principles. Deal is worth IDR156 billion (US$10.4 million)
Home Credit is a global consumer finance company and ESG-linked loan facility with Deutsche Bank will focuses on lending based on performance targets linked to Environment, Social, and Government principles
The loan’s performance targets are primarily focussed on financial inclusion and literacy. Home Credit will seek to increase both first-time and female customers, in line with the government’s goal of reaching 90 percent digital financial inclusion by 2024. Home Credit will also use digital technologies to provide consumer financing while adhering to strict customer data privacy standards.
According to Volker Giebitz, Director of Home Credit Indonesia, funding will provide more opportunities for the Indonesian population, particularly those without access to formal financial services. Home Credit, according to Giebitz, will provide educational initiatives in several cities to increase financial literacy in Indonesia in line with the Government efforts, in addition to providing affordable and transparent services that meet customer needs.
According to Head of Global Transaction Banking & Securities Services of Deutsche Bank, Mr Samir Dhamankar, transaction with Home Credit Indonesia will be second in row, after the one to Home Credit Philippines.
It will enable Home Credit to expand its consumer lending footprint in Asia while also demonstrating its commitment to a sustainable and financially inclusive agenda. It also demonstrates Deutsche Bank’s global transaction banking platform’s strength in one of the bank’s fastest-growing markets.
Recently Jörg Eigendorf has been named Chief Sustainability Officer at Deutsche Bank. He will continue to expand the bank’s sustainability area in order to further develop the strategy and intensify its implementation, reporting to CEO Christian Sewing.
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