The Sustainability-Linked Loan Principles (SLLP) were originally published in 2019 and provide a framework for what is recognized as an increasingly important area of finance. The SLLP underwent a structural revision in 2021, to provide a clear delineation between the selection of key performance indicators (KPIs) and the calibration of sustainability performance targets (SPTs).

In order to promote the development of this product, and underpin its integrity, the APLMA, LMA and LSTA considered it appropriate to produce Guidance on the SLLP, to provide market practitioners with clarity on their application and promote a harmonized approach.

This Guidance note should be read alongside the SLLP. Guidance is also available for the Green Loan Principles (GLP) and Social Loan Principles (SLP). Both sets of Guidance are intended to highlight the differences between, and suitability of application of, the SLLP, GLP, and SLP to any particular deal.

*On April 20, 2023, the following minor amendment was made: (1) Updated to include a disclaimer at the start of guidance.

Our entire list of Sustainable Lending Library is available here.