Andhra Pradesh has launched an unprecedented transformation programme towards sustainable agriculture.
At BNP Paribas we believe that by supporting innovative financing we can pave the way towards a more sustainable future and a healthier economy. One of the recent testimonies demonstrating BNP Paribas' "sustainability" commitment is captured in the Memorandum of Understanding (MoU) signed by the United Nations Environmental Program (UNEP) and BNP Paribas at the UNEP One Planet Summit in November 2017. This MoU created a framework to ensure that ever more progressive and innovative projects receive the support of the international community and investors.
One of the first initiatives built on by this agreement was the launch of the Tropical Landscapes Finance Facility (TLFF), a lending innovative platform managed by ADM Capital with BNP Paribas as structuring adviser and arranger, aiming at bringing long-term finance to projects and companies that stimulate green growth. This financing leveraged BNP Paribas' trademark ability to handle complex transactions with multiple parties coming from different angles to channel large investors' capital into transformational projects for deprived and ecologically sensitive areas and population.
This ground-breaking transaction structured and launched in March 2018 was followed by the Sustainable India Finance Facility (SIFF) financing in India. The first project to benefit from this agreement is the Zero Budget Natural Farming (ZBNF) aiming to bring long-term finance to projects and companies that stimulate green growth, reduce greenhouse gas emissions and improve the livelihoods of marginalised communities.
Antoine Sire, Head of Company Engagement at BNP Paribas, and Satya Tripathi, Chairperson of Sustainable India Finance Facility, on how India's Andhra Pradesh moves towards 100% chemical-free agriculture:
"BNP Paribas is delighted to be supporting such an impressive programme that views farmers' welfare and sustainable practices as vital for a sustainable and productive economy. As a bank which has included the UN Sustainable Development Goals in its global corporate plan, we strive to engage in partnerships and opportunities that do not only consider financial performance, but also positive impacts on environment and society."Antoine Sire, Head of Company Engagement, Member of the Executive Committee, BNP Paribas Group.
These flagship transactions set the stage for trailblazing multi-parties projects and will be followed by others within the same framework, replicating the lessons learned and leveraging this experience.