DBS Bank India announced the extension of its largest Sustainability-Linked Trade Facility (SLTF) to date, amounting to ₹670 crore, to Indorama India Private Limited, a wholly owned subsidiary of Indorama Corporation Pte Ltd. The transaction underscores the bank’s commitment to responsible banking and its continued support for clients that are embedding sustainability into their growth strategies.
Supporting Sustainable Manufacturing in the Fertiliser Sector
The facility is designed to promote sustainable manufacturing in eastern India’s fertiliser sector. It also highlights DBS Bank India’s expertise in delivering complex cross-border trade finance solutions. By linking financing to clearly defined environmental performance targets, the SLTF enables Indorama India to access capital while advancing measurable sustainability outcomes.
Specifically, the facility supports Indorama India’s efforts to reduce greenhouse gas emissions intensity, water-use intensity, and energy intensity across its operations.
Aligned with Global Sustainability-Linked Loan Principles
The facility is structured in line with globally recognised Sustainability-Linked Loan Principles. It ensures transparency, accountability, and verifiable progress against agreed targets. In addition, it offers a comprehensive suite of trade finance instruments, including:
*Letters of Credit (LC)
*Purchase Invoice Financing (PIF)
*Buyer’s Credit Import Advance (BCIA)
Together, these instruments will help Indorama India efficiently manage its working capital requirements across trade, procurement, and day-to-day business operations.
Leadership Perspectives on Sustainable Finance
Divyesh Dalal, Managing Director and Country Head – Global Transaction Services, Corporate Banking – Financial Institutions and SMEs, DBS Bank India, said, “Responsible banking is central to how we engage with our clients, and sustainability-linked structures allow us to align financing with long-term environmental outcomes. This mandate reflects our ability to deliver complex, cross-border solutions. It also supports clients as they integrate sustainability into their growth plans. We remain committed to advancing sustainable finance in a way that delivers meaningful impact.”
Manish Kumar Agarwal, CFO – Indorama India, added, “Our partnership with DBS reflects our commitment to integrating sustainability into our financial strategy and operations. The facility strengthens our liquidity position while reinforcing our dedication to ESG principles, aligning business growth with responsible practices. We will continue to build on this momentum as we advance our sustainable finance agenda.”
Building Momentum in Sustainable Finance
The Indorama transaction builds on a series of sustainable finance mandates executed by DBS Bank India in 2025. As per the press release, in December, the bank acted as sole adviser and green loan coordinator for a ₹1,280 crore green loan facility for Tata Realty and Infrastructure Ltd. Earlier in June, DBS Bank India structured a USD 80 million green financing for Aseem Infrastructure. At the group level, DBS Bank Indonesia announced a USD 20 million sustainability-linked trade finance facility for PT Indo-Rama Synthetics Tbk in January 2025. This follows a USD 10 million credit facility completed in 2024.
