The Sustainability‑Linked Loan Principles (SLLP), first published in 2019, provide a framework for this growing area of finance. A major revision in 2021 introduced clearer guidance, distinguishing between the selection of key performance indicators (KPIs) and the calibration of sustainability performance targets (SPTs).
The green loan market supports environmentally sustainable economic activity. To promote the integrity and growth of this product, the Green Loan Principles (GLP) were developed by a working group of leading financial institutions active in the global syndicated loan markets.
The Green Loan Principles (GLP), first published in 2018, provide a framework for this growing area of finance. To support their development and ensure integrity, the APLMA, LMA, and LSTA issued Guidance on the GLP, offering market practitioners clarity on application and promoting a harmonized approach.
The Social Loan Principles (SLP) were originally published in 2021 and provide a framework for what is recognized as an increasingly important area of finance.
Environmental, social, and governance (ESG) considerations are increasingly central to investment decisions, with investors, sponsors, and lenders placing greater emphasis on sustainability strategies and disclosures. In fund finance, interest in sustainability‑linked loans (SLLs) continues to grow, reflecting the market’s potential to advance ESG goals.
An Introduction to Green Loan Frameworks is an educational tool that explores the structure and purpose of a green loan framework, which is to evidence alignment with the four components of the GLP, as well as the overarching objectives and alignment of projects with taxonomies and eligibility criteria. This document is referenced in the Green...
The APLMA, LMA and LSTA speak to the recent publication of the two new guidance documents, which aim to address some of the most frequently asked questions in relation to the Green Loan Principles (GLP) and the Sustainability Linked Loan Principles (SLLP). The spotlight covers: what prompted the development of the guidance documents how the...
While the majority of sustainable finance activity has been on the equities side, the fixed income markets have also seen the development of green and sustainability linked products. On the loans side, the US loan market saw its first green loans and sustainability linked loans in 2018. Here are eight things you need to know...
