Citi Extends Trade Product Offerings with the Launch of Sustainable Trade and Working Capital Loans Solution

Rhea-AI Summary

Citi has launched its Sustainable Trade and Working Capital Loans (Sustainable T&WC Loans) across Europe, the Middle East, Africa, Latin America, and Asia Pacific. This initiative follows the successful rollout of Citi's Sustainable Supply Chain Finance offering and supports the bank's ESG agenda. The loans will help clients finance international trade and day-to-day operations while also meeting sustainability goals. Citi aims to commit US$1 trillion to sustainable finance by 2030, with an emphasis on both environmental and social financing.

Positive

• Launch of Sustainable T&WC Loans expands sustainable finance offerings.
• Supports clients' working capital needs, improving liquidity.
• Aligns with Citi's commitment to US$1 trillion sustainable finance by 2030.

Negative

• None.

New solution assists clients with their working capital needs whilst also supporting their sustainability goals

LONDON--(BUSINESS WIRE)-- Citi has today announced the launch of its Sustainable Trade and Working Capital Loans (Sustainable T&WC Loans) solution in Europe, Middle East and Africa (EMEA), Latin America (LATAM) and Asia Pacific (APAC) regions.

The launch follows the successful rollout of Citi’s Sustainable Supply Chain Finance offering, and represents the next step of the journey to expand Citi’s sustainable Trade and Working Capital Solutions as a key part of Citi’s broader commitment to advancing its Environmental, Social and Governance (ESG) agenda.

T&WC Loans assist Citi’s Corporate, Commodity, Financial Institution and Commercial Banking clients in managing their working capital needs, by financing their international trade finance activities and general day-to-day commercial activities, helping to improve liquidity.

The Sustainable T&WC Loans solution can also support clients with their sustainability goals, where the proceeds of the loan are used for an environmental or social purpose. Should certain sustainability criteria be met, the solution can provide clients a framework for incentivised pricing.

Peadar Mac Canna, Head of EMEA Trade and Working Capital business at Citi said: “Under Citi’s Trade and Working Capital business, we are closely working with our clients to support their supply chains and ecosystem transition to a sustainable, low-carbon business model that balances the environmental, social and economic needs of society. Combined with our digital solutions, Citi’s Sustainable T&WC Loans allow clients to use loan proceeds for, or in connection with, ESG purposes.”

Citi’s Sustainable T&WC Loans solution aligns with the bank’s commitment to integrating sustainability into its products, services and client offerings. To help accelerate the transition to a global low-carbon economy, Citi launched its updated Sustainable Progress Strategy in July of 2020, and also committed US$1 trillion to sustainable finance by 2030, which includes US$500 billion for environmental finance and US$500 billion for social finance.

“Companies around the world are increasingly looking at how to incorporate sustainable practices across their businesses,” said Davida Heller, Head of Sustainability Strategy, Citi. “At Citi, we are supporting our clients at every step of their journey with our products and services, and this extended working capital loan offering represents yet another tool in our toolbox to help our clients achieve their sustainability goals.”

The Sustainable T&WC Loans product will initially launch in 80 countries across the EMEA, LATAM and APAC regions, and will be further rolled out across North America throughout 2022.

-ENDS-

About Citi’s Treasury and Trade Solutions
Citi Treasury and Trade Solutions (TTS) enables our clients' success by providing an integrated suite of innovative and tailored cash management and trade finance services to multinational corporations, financial institutions and public sector organizations across the globe. Based on the foundation of the industry's largest proprietary network with banking licenses in over 90 countries and globally integrated technology platforms, TTS continues to lead the way in offering the industry's most comprehensive range of digitally enabled treasury, trade and liquidity management solutions.

About Citi
Citi, the leading global bank, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Citi provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management.

Additional information may be found at www.citigroup.com | Twitter: @Citi | YouTube: www.youtube.com/citi| Blog: http://new.citi.com| Facebook: www.facebook.com/citi| LinkedIn: www.linkedin.com/company/citi

View source version on businesswire.com: https://www.businesswire.com/news/home/20220405005687/en/

Media Contact:

Belinda Marks

Belinda.marks@citi.com

Source: Citi

FAQ

What are Citi's Sustainable Trade and Working Capital Loans?

Citi's Sustainable Trade and Working Capital Loans (Sustainable T&WC Loans) assist clients in managing working capital needs while supporting their sustainability goals by financing trade activities.

Which regions will benefit from the Sustainable T&WC Loans?

The Sustainable T&WC Loans will initially launch in 80 countries across Europe, the Middle East, Africa, Latin America, and Asia Pacific.

What is Citi's commitment to sustainable finance?

Citi has committed to allocating US$1 trillion to sustainable finance by 2030, with equal parts for environmental and social finance.

How do Sustainable T&WC Loans support sustainability goals?

Loans can be used for loans tied to environmental or social purposes, and clients can benefit from incentivized pricing if they meet specific sustainability criteria.

When was the Sustainable T&WC Loans solution launched?

Citi announced the launch of the Sustainable T&WC Loans on April 5, 2022.