Sustainability Loan: credit for sustainability investments by SMEs
For small and medium-sized enterprises that invest in improving their sustainability profiles, Intesa Sanpaolo has developed several solutions that include:
- the S-Loan (Sustainability Loan), an innovative programme that can be combined with some loans, designed to support companies in achieving their ESG objectives
- the S-Loan Progetti Green, the new medium- to long-term financing product dedicated to green transition investments.
S-Loans feature a twofold bonus mechanism that provides the company with an immediate benefit at the application stage for committing to specific targets (KPIs) in the ESG (environmental, social and governance) arena and a further benefit upon reporting that it has achieved these targets.
Since the launch of the first S-Loan ESG in 2020, Intesa Sanpaolo has diversified its range in terms of both new KPIs dedicated to customer targets and new associated products.
Three types of S-Loans are currently available: S-Loan ESG, S-Loan Diversity and S-Loan CER (Renewable Energy Community).
Intesa Sanpaolo’s S-Loans:
S-Loan ESG
S-Loan ESG, with six KPIs for the 360° improvement of sustainability performances regarding: the procurement of renewable energy or bioenergy and the introduction of a procurement policy that takes account of Environmental considerations; activities to support the community organised on the basis of a multi-year programme and the development of programmes to engage customers and/or suppliers in sustainability issues, for the Social area; training activities for employees on environmental/social sustainability and the development of welfare programmes to improve the well-being of employees, for the Governance area.
S-Loan Diversity
S-Loan Diversity, with four different KPIs for promoting gender equality and the role of women in the socioe conomic context: promotion and launch of initiatives and good practices for facilitating and improving female participation in the community; launch of initiatives to drive up female employment rates in companies; definition and implementation of internal policies designed to guarantee gender equality in the business context; introduction of corporate welfare programmes for female employees which promote equal opportunities.
S-Loan CER
S-Loan CER, with two KPIs for companies that want to invest in projects to improve energy self-sufficiency by building renewable energy plants and sharing self-produced energy in a Renewable Energy Community.
Moreover, in relation to the type of financing combined, the selected S-Loan solution can be associated with the main government guarantees: Guarantee Fund, SACE Guarantee Italy and SACE Green Guarantee.
S-Loan Progetti Green
The S-Loan Progetti Green is a financing product that since 1 February 2024 has been available to all companies that engage in investments and projects that generate a positive environmental impact on processes, products and technologies. It allows financing of up to 100% of the costs (VAT excluded), with maturities of up to 20 years, and is characterised by dedicated conditions and the possibility of an additional benefit on the contractual rate upon reporting that the investment has been completed on schedule.
Like the S-Loan, the S-Loan Progetti Green financing product features a twofold bonus mechanism. In contrast to the S-Loan, the company can obtain an immediate benefit at the application stage by committing to complete the project by a specific date; the additional benefit will then depend on the company reporting completion of the financed project by the established deadline.
Social Impact and awards:
Intesa Sanpaolo has also decided to amplify the social impact of each S-Loan disbursed by making a donation to a solidarity project identified on its crowdfunding platform, For Funding, stimulating the same companies to donate in turn.
Intesa Sanpaolo's S-Loans received the MF Innovazione award at the MF Banking Awards 2022 in the category "Financing for private and business customers": the award is organised by MF - Milano Finanza to highlight the most innovative banking products in Italy and trends in the field.
Results and indicators
Since the launch of the S-Loan solution in 2020, some €5 billion of financing has been granted.
Approximately 70% of the companies that sought to improve their sustainability profiles chose an environment KPI. In particular, the most adopted pairs of indicators were:
- introduction of a procurement policy that integrates environmental considerations and development of programmes to increase employee welfare
- share of revenue dedicated to community support activities and development of programmes to increase employee welfare.
Intesa Sanpaolo supports the projects and investments of its corporate clients in the ESG arena: the new 2022-2025 Business Plan calls for new credit of €88 billion for the green economy, circular economy and ecological transition.
Last updated 16 February 2024 at 16:28:00