As part of Thailand’s determination to achieve climate goals and create a sustainable society, the Government Savings Bank issued $746 million in green loans to over 8,000 businesses and individuals since launching the financial product last year.

“This initiative aims to support businesses that create positive effects for the economy, society and the environment,” said Noppawan Ratanawekin, Senior Executive Vice President at the Government Savings Bank (GSB).

The bank is using its financial products to support the country's transition to a low-carbon economy, Noppawan said. They include GSB For BCG Economy loans, GSB Green Biz loans, GSB Green Home loans, and Go Green personal loans.

Thailand is committed to reducing greenhouse gas emissions under the Paris Agreement and has set goals of achieving carbon neutrality by 2050 and net-zero greenhouse gas emission by 2065. Policymakers are promoting the adoption of the bio-circular-green (BCG) economy as the framework for achieving those goals and advancing the Kingdom toward a greener and more sustainable development.

While major Thai corporations such as energy firm PTT and construction conglomerate SCG have aggressively adopted those policies, the transformation needs the participation of individuals and small and medium-sized enterprises (SMEs) to be successful.

To promote participation, the GSB has partnered with JGS Synergy Power Co, a distributor of solar photovoltaic devices and electric vehicle chargers aimed at households and SMEs. Together, they have been supporting consumers in financing clean energy solutions, allowing homes and small businesses to install and use solar and other forms of renewable energy.

In addition, Noppawan said that the bank has begun using ESG scoring for its loan consideration process for large businesses, becoming the first Thai bank to adopt those criteria.

Photo courtesy of https://www.gsb.or.th/