Sustainability has become a key pillar in LAAD’s strategy, and in 2021 we
completed a key step towards this goal by developing our
Green Finance Framework, which will server as our roadmap in
financing activities that improve our clients’ sustainability and
environmental performance.
The Green Finance Framework outlines the methodology and
associated procedures for classifying financial products offered by LAAD as
green finance. It specifies the classification logic, the eligibility
criteria, the applicable environmental and social due diligence requirements,
and the verification process for green finance. It also outlines reporting
principles and requirements.
This framework covers activities that help clients reduce their carbon
emissions, adapt to climate change, improve resource and water use efficiency,
and reduce or eliminate negative impacts on the environment.
LAAD obtained a Second Opinion on this framework from
CICERO Green, who is recognized as the leading provider of independent reviews of green
loans and green bonds. Cicero Green rated LAAD’s
Green Finance FrameworkasMEDIUM GREEN
and found it to be in alignment with the
Green Loan Principles
and
Green Bond Principles.
