KfW IPEX-Bank joins the Poseidon Principles
A major provider of financing for the maritime industry, KfW IPEX-Bank is the latest financial institution to join the Poseidon Principles framework for responsible ship finance. The Poseidon Principles now collectively cover over 65% of the global ship finance portfolio.
22 September 2022 – Recognizing the important role of financial institutions as capital providers to the maritime industry, the Poseidon Principles aim to provide a framework for integrating climate considerations into lending decisions to promote shipping decarbonization.
“Supporting our clients on their journey to transformation has become a focal point for KfW IPEX-Bank across all business segments,” says Holger Apel, Global Head of Maritime Industries at KfW IPEX-Bank. “For the Maritime Industries we have already implemented specific sustainability principles over the past years which are imbedded into KfW Group’s wider framework to align the bank’s business with the Paris goals. The Poseidon Principles are now an additional key element to further integrate climate change into our lending policies and to monitor the decarbonization targets of our shipping portfolio.”
Signatories to the Poseidon Principles commit to benchmarking their ship finance portfolios against the IMO’s ambition to reduce greenhouse gas emissions from international shipping by at least 50% by 2050. As also announced today, the Poseidon Principles will add additional trajectories to report climate alignment with a 1.5C future, as soon as such a trajectory or trajectories become available.
“With KfW IPEX-Bank as our latest Signatory, the Poseidon Principles cover over 65% of the global ship finance portfolio. I am delighted to welcome them as our 30th Signatory and am certain they will contribute significantly towards our aim of promoting responsible environmental stewardship throughout the maritime value chain,” added Michael Parker, Chairman, Global Shipping, Logistics & Offshore, Citi and Chair of the Poseidon Principles for Financial Institutions.
To date, 30 financial institutions have joined the Poseidon Principles: ABN Amro, BNP Paribas, Bpifrance Assurance Export, CaixaBank Citi, Credit Agricole CIB, Crédit Industriel et Commercial, Credit Suisse, Danish Ship Finance, Danske Bank, DekaBank, Development Bank of Japan, DNB, Export Finance Norway, Finnvera, ING, KfW IPEX-Bank, MUFG Bank, Nordea Bank, OCBC Bank, SACE, SEB, Shinsei Bank, Société Générale, SpareBank 1 SR-Bank, Sparebanken Vest, Standard Chartered Bank, Sumitomo Mitsui Banking Corporation, Sumitomo Mitsui Finance & Leasing, and Sumitomo Mitsui Trust Bank.