HSBC Thailand has identified significant opportunities in sustainable supply chain financial services within the Thai market. The bank aims to provide local small and medium-sized enterprises (SMEs) with enhanced access to funding sources through its financial solutions.
Giorgio Gamba, Chief Executive of HSBC Thailand, highlighted the bank’s ongoing support for multinational corporations and large companies in adopting sustainable practices aligned with global net-zero carbon emission standards. Building on this commitment, HSBC Thailand is now expanding its focus to Thai SMEs within the supply chains of corporate clients through the introduction of its new financial offering, Sustainable Supply Chain Finance.
Mr. Gamba emphasized that this financial tool would assist corporations in driving sustainability initiatives and bolstering the resilience of their supply chains. Given that a significant portion of a company’s carbon emissions originate from its supply chains, this initiative could potentially contribute to reducing carbon footprints in the country.
Introducing this initiative in the Thai market last month, HSBC Thailand’s Sustainable Supply Chain Finance program aims to support local businesses and the nation in achieving sustainability targets while promoting decarbonization in trade and supply chains.
Thuy Ngo, Head of Global Trade Solutions at HSBC Thailand, elaborated on how the bank’s trade solutions empower corporations to expand globally, forge new partnerships, venture into new markets, and navigate the dynamic business landscape. With a strong foothold in global trade, HSBC facilitated $850 billion in trade in 2023, harnessing its extensive network of 1.3 million businesses worldwide to assist clients in identifying suitable partners, managing risks, and accessing financial support.
Targeting multinational corporations, foreign direct investment enterprises, large corporations engaged in international investments, trade finance clients, exporters, and importers, the new financial product extends to the supply chains of existing corporate customers, aiming to provide SMEs within these chains better access to working capital at favorable interest rates compared to traditional borrowing methods.
Emphasizing Thailand’s commitment to achieving carbon neutrality by 2050 and net-zero greenhouse gas emissions by 2065, the bank aims to understand and cater to the evolving needs of its clients in transitioning towards net zero. The sustainable supply chain finance solution serves as a vital tool to assist clients in driving sustainability and resilience in their supply chain management efforts, recognizing the significant impact these measures have on carbon emissions within business operations.
