BMO and EDC Announce Collaboration to Introduce Sustainable Finance Options for Canadian Companies

• Collaboration will create options to assist medium- and large-sized Canadian companies in carbon-intensive sectors transfer to extra sustainable enterprise fashions
• Aligned with Canada’s dedication to internet zero emissions by 2050, direct, oblique and future Canadian exporters can discover reasonably priced capital options to comprehend local weather aims and extra successfully transition to internet zero

TORONTO, Could 2, 2022 /CNW/ – BMO Monetary Group (BMO) and Export Growth Canada (EDC) as we speak introduced an settlement to carry sustainable finance options to medium- and large-sized Canadian exporting companies, to assist them transition from carbon-intensive operations to those who can get rid of or considerably cut back emissions. As a part of the settlement, BMO is the primary monetary establishment to supply EDC’s new Sustainable Financing Assure (the Assure), a product out there by way of EDC’s Sustainable Financing Program – a key supply of funding to allow the help that Canadian companies will want.

“As a part of our Objective to Boldly Develop the Good in enterprise and life, BMO is dedicated to being our purchasers’ lead accomplice of their transition to a net-zero world,” stated Jonathan Hackett, Head, Sustainable Finance and Co-Head, Power Transition Group, BMO Monetary Group. “Serving to prospects adapt and thrive by way of this transition requires a considerate, balanced and accelerated strategy, knowledgeable by science, widespread sense and daring however sensible options. The providing with EDC represents one of many progressive methods that can assist us meet these necessary targets.”

The Assure is a risk-sharing answer co-developed to extend the capability of Canadian monetary establishments, like BMO, to offer corporations engaged in eligible sectors with loans and financing that help their carbon discount initiatives. This system will present the preliminary
$1 billion in financing over the subsequent three years to help sustainable initiatives, together with hydrogen, renewable infrastructure and grid modernization, throughout 9 carbon-intensive sectors. EDC will assure as much as 50 per cent of BMO’s time period mortgage – as much as a most of US$60 million per obligor, for a interval of as much as seven years – offering extra capability for BMO to help their exporting purchasers’ low carbon transition and export development.

“We perceive the pressing want to deal with local weather change, and as Canada’s export credit score company, we’ve a task to play,” stated Justine Hendricks, Senior Vice President and Chief Company Sustainability Officer at EDC. “Working with Canada’s monetary establishments like BMO, we will help Canadian companies’ entry to the financing they must be part of this necessary transition in Canada and globally. With EDC’s dedication to realize internet zero by 2050, each organizations are main the best way to assist companies innovate and obtain long-term enterprise development in a method that’s sustainable, equitable and consistent with a low-carbon future.

“BMO’s dedication to sustainable finance and their efforts to assist Canadian corporations adapt and stay aggressive within the ever-changing world financial system aligns with EDC’s targets, making them a pure match to launch this necessary initiative,” stated Ms. Hendricks. “Going ahead, as we proceed to construct our sustainable financing stream, we sit up for working with different monetary establishments to assist Canadian companies help the transition to internet zero.” 

To be taught extra about this providing, purchasers ought to contact their BMO consultant or ship an e-mail to [email protected].

BMO and Sustainability

BMO is dedicated to a sustainable future. Carbon impartial in its personal operations since 2010, in 2021 BMO introduced its Local weather Ambition and its dedication to deploy $300 billion in sustainable lending and underwriting to corporations pursuing sustainable outcomes by 2025.  BMO is targeted on being its purchasers’ lead accomplice within the transition to a net-zero world and, since December 2019, has accomplished inexperienced and sustainability-linked loans for corporations in a spread of sectors, with targets together with sustainability, variety, and well being and security. To help purchasers’ pursuit of alternatives pushed by the rising momentum of the worldwide financial system’s shift in manufacturing and consumption of power, in 2021 BMO established a devoted Power Transition Group and the BMO Local weather Institute.

BMO’s management on sustainability has been acknowledged on numerous rankings, together with the Wall Avenue Journal’s 100 Most Sustainably Managed Corporations within the World, Company Knights’ World 100 Most Sustainable Companies, Dow Jones Sustainability World Index, and Ethisphere Institute’s record of the World’s Most Moral Corporations.

For extra data on BMO’s dedication to a sustainable future, please go to the financial institution’s Sustainability Report. To be taught extra about sustainable finance at BMO click on right here. For BMO’s local weather ambition, go to its Local weather web page.

EDC and Sustainability

EDC believes that sustainable practices are key the success of Canadian corporations and to Canada’s worldwide competitiveness and prosperity.

The corporate launched into this journey greater than twenty years in the past after they first developed inner non-credit threat administration practices. Since then, they’ve grow to be one of many largest financiers of cleantech in Canada, have been the primary Canadian monetary establishment to concern a inexperienced bond and the primary export credit score company to decide to internet zero by 2050. 

As we speak, they proceed to make tangible progress in direction of their internet zero aim and to behave as a convener and accomplice of the numerous stakeholders who will probably be wanted to make internet zero a actuality for Canada and Canadian companies.

About BMO Monetary Group

Serving prospects for 200 years and counting, BMO is a extremely diversified monetary providers supplier – the eighth largest financial institution, by belongings, in North America. With complete belongings of $1.02 trillion as of January 31, 2022, and a group of various and extremely engaged staff, BMO supplies a broad vary of non-public and industrial banking, wealth administration and funding banking services to greater than 12 million prospects and conducts enterprise by way of three working teams: Private and Industrial Banking, BMO Wealth Administration and BMO Capital Markets. 

About EDC

Export Growth Canada (EDC) is a monetary Crown company devoted to serving to Canadian corporations of all sizes succeed on the world stage. As worldwide threat consultants, we equip Canadian corporations with the instruments they want – the commerce information, financing options, fairness, insurance coverage, and connections – to develop their enterprise with confidence. Underlying all our help is a dedication to sustainable and accountable enterprise.

Web:

www.bmo.com   
www.edc.ca  

Twitter:

@BMOMedia  
@ExportDevCanada   

SOURCE BMO Monetary Group

For additional data: For Information Media Inquiries: BMO Monetary Group: Kelly Hechler, Media Relations, [email protected], (416) 867-3996; Export Growth Canada: [email protected], (888) 222-4065