Standard Chartered Bank has successfully executed a sustainability-linked repurchase agreement transaction (repo) with Turkey’s Denizbank. 

The transaction is the first such repo for Denizbank and is among the first few globally in which the repo terms are linked to progress against ESG goals.

Specifically, the repo terms will be linked to Denizbank’s progress in increasing agricultural lending and improving the accessibility of banking services for people with disabilities.

Lina Osman, head of sustainable finance (West) at Standard Chartered, said: “Standard Chartered has played a key role in driving sustainability-led initiatives in the region as part of our ambitious pathway to net zero by 2050. 

“This sustainability-linked repo is an example of our ability to innovate and use our ESG structuring capabilities to support our clients as they deliver on their sustainability goals.”

In October 2021, Standard Chartered announced new targets to reach net zero carbon emissions from its financed activity by 2050, including interim 2030 targets for the most carbon-intensive sectors. 

Standard Chartered added that its approach is data-driven and aligns with the International Energy Agency’s (IEA) Net Zero Emissions by 2050 Scenario.