Project finance: The adoption of the Equator Principles reinforces KBC’s long-standing commitment to environmental and social responsibility in all its activities.
We officially adopted the Equator Principles - the leading financial industry benchmark for determining, assessing and managing environmental and social risks in major industrial and infrastructure projects - on 27 January 2004. The Principles are based on well-established policies and guidelines issued by the International Finance Corporation (IFC, the private-sector arm of the World Bank Group) and the World Bank. KBC has integrated the Equator Principles directly into the KBC General Credit Policy. They are applied throughout KBC’s project finance business worldwide.
In line with the requirements of the Equator Principles, we provide financing or advisory services only when the borrower is willing to comply with the environmental and social processes and policies of these Principles. To this end, we have appointed an Equator Principles coordinator within each entity to act in concert with the central credit department, where ultimate responsibility for reviewing the environmental and social aspects of projects is located.
In April 2014, following the revision of the Equator Principles, we have organised a training for the business divisions and credit risk departments to enhance knowledge and implementation of the Equator Principles.