Mitsubishi UFJ Financial Group (MUFG) announced that it has updated its Green Deposit Framework in collaboration with Morningstar Sustainalytics, a leading global provider of Environmental, Social, and Governance (ESG) research, ratings, and data. The goal of the Framework is to ensure that the criteria for financing green assets aligns with the current market practice. In addition, following the February 2021 launch in the United States, Green Deposits are now available for MUFG commercial and corporate clients in Australia, China, Hong Kong, and Japan.
Latest Fintech News: FICO and Israel’s Open-Finance.ai Partner to Transform Decision-Making Speed and Precision in Credit and Insurance
Green Deposits enable MUFG clients to support sustainable projects that benefit the environment. With Green Deposits, clients can place deposits knowing their investments support lending for ESG initiatives. MUFG uses the deposited funds to finance green projects such as energy efficiency, renewable energy, green transport, sustainable food, and greenhouse gas reduction, among many others.
On an annual basis, MUFG’s eligible assets and Green Deposit portfolios are reviewed by Morningstar Sustainalytics to ensure alignment with industry best practices and standards. The first MUFG Green Deposits Framework review for the calendar year 2021 was completed in April 2022.
Latest Fintech News: Workday Global Survey Finance and IT Leaders Reveal Top Barriers to Digital Finance Transformation
“As information on environmental matters evolve, MUFG is committed to reviewing the Green Deposit Framework each year, with support from Sustainalytics, to evaluate and determine if any changes need to be made to qualifying activities,” said Olu Adebiyi, Liquidity Product Head, Transaction Banking Americas. “We are pleased to receive independent validation that our Green Deposit Framework meets industry standards. Interest in Green Deposits remains strong, and we continue to expand this offering into new geographies.”
Latest Fintech News: Nickel Digital Arbitrage Fund Cuts Crypto Volatility by More Than 20X
[To share your insights with us, please write to sghosh@martechseries.com]
