Overview
Sustainable trade finance refers to financing that supports goods or services produced in a manner that minimises adverse environmental or social impacts or risks, or that promotes environmental protection or social benefits. By offering companies the products and solutions they need to achieve their sustainability agendas, sustainable trade finance can be a catalyst for greening the global supply chain.
Through guides and frameworks, the Green Finance Industry Taskforce (GFIT) – which is convened by MAS – is committed to scaling green trade finance in Singapore.
Key Facts and Trends
80% of global carbon emissions
International trade
78% of MNCs
remove suppliers that endangers their carbon transition plan
in export revenue if fail to cut carbon emissions
MAS’ Initiatives
Green and Sustainable Trade Finance and Working Capital Framework
In May 2021, GFIT issued the Green and Sustainable Trade Finance and Working Capital (GTF) Framework to help banks assess eligible green trade finance transactions.