IHI Concludes Transition Loan Agreement with Mizuho Bank
IHI announces today that it recently concluded a transition loan agreement with Mizuho Bank, Ltd. Such loans enable financial institutions to fund corporate efforts to transform their businesses to cut carbon emissions and help decarbonize the economy.
IHI will leverage the loan to invest in clean energy, focusing on ammonia, in stepping up ESG management in keeping with Group Management Policies 2023, which it announced in May this year.
In September, IHI formulated a Sustainable Finance Framework for this loan. This framework is consistent with sectoral roadmaps, notably those of the Ministry of Economy, Trade and Industry for chemicals, electricity, gas, and automobiles, and those of the Ministry of Land, Infrastructure, Transport and Tourism for marine transportation and aviation. It is also compatible with international scenarios of the International Energy Agency and the International Air Transport Association. The Japan Credit Rating Agency, Ltd., provided an independent third-party evaluation of conformity with the Climate Transition Finance Handbook 2023 and other relevant publications.
In line with its management philosophies, which emphasize contributing to the development of society through technology and that human resources are its single most valuable asset, and the IHI Group ESG Management policy, the IHI Group has made mitigating and adapting to environmental change a top management priority, and will accordingly push forward with ESG management.
IHI will leverage funds from the loan to shift management resources to growth areas in keeping with Group Management Policies 2023 in its drive to attain sustainable high growth.
Reference links
IHI Group ESG Management
https://www.ihi.co.jp/en/sustainable/esg/
Group Management Policies 2023
https://www.ihi.co.jp/en/ir/management/management_plan/
IHI Sustainable Finance Framework
https://www.ihi.co.jp/en/sustainable/finance/i/231012_framework.pdf
Link for evaluation from Japan Credit Rating Agency, Ltd.
https://www.jcr.co.jp/en/greenfinance/