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Pan Asia Bank takes the lead in Climate Finance in collaboration with GCPF

March 12, 2019

Pan Asia Banking Corporation PLC last week took the initiative in addressing climate change which has reached new depths in threatening the ecological balance in the world.

The bank was among early pioneers of introducing green lending in Sri Lanka, is collaborating with the Global Climate Partnership Fund (GCPF). The Fund is a global public-private partnership managed by response  Ability. It aims at mitigating climate change via leveraging private capital in developing and emerging markets to channel funds into areas and projects which can curb the adverse effects and impacts from a changing climate – a process referred to as climate finance.

To champion this cause, Pan Asia Bank, supported by GCPF, organized an event titled ‘The Future is Green Sri Lanka 2019’ held at Cinnamon Grand Colombo.

The event was attended by a very diverse group of participants including representatives from Sri Lanka Sustainable Energy Authority, Regional Development Department of CBSL, Sri Lanka Sustainable Banking Initiative and renowned academics from the University of Moratuwa (UoM).

Dr. Thusitha Sugathapala, Senior Lecturer at the UoM, delivered the key note address and presented the participants with insights on climate change, specifically in the context of Sri Lanka, and the remedial actions taken by the government to mitigate the impacts, stressing the need to do more. His colleague Dr. Milinda Pathiraja, also from UoM, gave a fresh perspective on the institutional footprint and the benefits of green buildings.

Addressing the gathering, the Pan Asia Bank Chief Executive Officer, Nimal Tillekeratne pledged his continued support towards the climate finance initiative. “We are holding this event to raise awareness on climate change and sustainable development in the country. I’m very happy to see the interest amongst our clientele and the key people in all related organizations. I hope you will find the event very valuable and encourage you to start think green. Pan Asia bank remains deeply committed to finance the sustainable development and apprehend this very imperative issue”, Tillekeratne said.

Meanwhile addressing the event Luke Franson, Head of Green Lending at GCPF explained the impact of climate finance and the GCPF’s role in climate mitigation. As part of its mandate, the GCPF finances projects targeting small and medium-sized businesses and private households, specifically energy efficiency projects that reduce projected greenhouse gas emissions by at least 20% and renewable energy generation projects.

Franson also briefed how it supports their partner financial institutions, in this case Pan Asia Bank in facilitating climate finance.

“The fact that climate finance also provides for a viable business case, this creates great opportunities for a win-win situation across sectors and industries”, commented Pan Asia Bank’s DGM – Branch Credit addressing the event”, he explained.

About climate finance

The United Nations Framework Convention on Climate Change (UNFCC) defines climate finance as local, national and transnational financing drawn from public, private and alternative sources of financing that seeks to support mitigation and adaptation actions that will address climate change.

About the Global Climate Partnership Fund

The Global Climate Partnership Fund is a public-private partnership founded in 2009 by the German Federal Ministry for the Environment, Nature Conservation, Building and Nuclear Safety (BMUB) and KfW Entwicklungsbank. The fund targets to mitigate climate change by financing energy efficiency and renewable energy projects in emerging markets, either directly or via financial institutions. It currently manages close to USD 670 m of committed capital from both public and private investors.

About response Ability Investments AG

A leading asset manager in the field of impact investments in emerging economies, response Ability manages USD 3 bn of assets and a variety of investment vehicles that provide private debt and private equity to some 540 companies with inclusive business models across 90 countries. Founded in 2003, the company is headquartered in Zurich and has local offices in Bangkok, Geneva, Hong Kong, Lima, Luxembourg, Mumbai, Nairobi, Oslo and Paris.

Image Caption -Panel Discussion : From left, Mr.Sathish Dhanapal (Energy specialist- GCPF) , Dr.Thusith Sugathapala (Senior Lecturer – UoM), Dr.Milinda Pathiraja (Senior Lecturer), Mr.Luke Franson (Head Green Lending – GCPF), Mr.Hemantha Seneviratna (Representative – Sri Lanka Sustainable Banking Initiative) , Mr.Mahesh Senannayake( Compeer)