“J.P. Morgan works with the EBRD to help our Global Trade clients secure sustainable trade financing and invest in technology that has been reviewed and approved by climate finance experts”, reads the case study prepared by J.P. Morgan on how global banks are collaborating with the EBRD to combat the climate emergency using the Green Technology Selector (GTS) and the Green Trade Facilitation Program (Green TFP).
Sustainable financing has become an important aspect of doing business in today’s world. More global firms are committing to operating in an “environmentally friendly manner” carrying out trade deals that make green technologies more accessible in their countries of operation. There are a number of challenges that these firms face: 1) they need to be confident that they are indeed investing in green technologies and 2) they may also need to look beyond their traditional markets and connect with new suppliers around the world. J.P. Morgan and the EBRD work together to help global firms overcome these challenges. For all trade deals that take place in the EBRD’s focus markets, J.P. Morgan approaches the EBRD with the transaction details to be evaluated. If the EBRD can support the transaction and if it qualifies as green, J.P. Morgan can support it, moving the process of promoting green technologies one step forward.
As a result, with the help of the Green Technology Selector and the Green TFP, the global banks stimulate the supply of high-performance technologies and materials. These tools also enable the local banks across the EBRD regions to finance exports, imports and local distribution of imported energy efficiency, renewable energy and climate technologies. Moreover, global firms that sell these technologies can register their technologies with the GTS “creating more opportunities for them to grow their green business and more opportunities for environmentally-minded businesses to source technology that is better for our planet.”
With the aim to increase green financing to more than 50% of its annual business volume by 2025, the EBRD is actively working with financial institutions around the globe to promote the use of sustainable technologies. The recognition of its tools by a global institution such as J.P. Morgan creates more opportunities for the adoption of sustainable deals by businesses.
The EBRD’s award-winning Green TFP stimulates the supply of high-performance technologies and services. Green TFP is an important, innovative step for trade finance and it strengthens the EBRD’s efforts to make the countries where it invests greener with its activities. To this day, the EBRD’s Green TFP has supported more than €675 million in green trade financing, resulting in energy savings of 1,530,200 MWh and emissions savings of 605,376 tonnes of CO2.
The Green Technology Selector is the online business-to-business and business-to-consumer platform with over 30,000 high-performing technologies and materials that helps businesses and households reduce utility costs, increase comfort, quality of services or productivity while reducing greenhouse gas emissions and strengthening resilience to climate change.
The Green Technology Selector is available in over 10 languages across over 26 countries including Armenia, where more than 1,800 technologies are available from local vendors. The GTS facilitates the application for GEFF in Armenia financing available at local partner financial institutions and helps businesses invest in best-in-class technologies to adopt green practices in their day-to-day operations.
Read the full case study.
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