OCBC and Enterprise Singapore (EnterpriseSG) have introduced the OCBC SME Start-ESG Programme to help SMEs assess and improve their sustainability performance.
The programme provides SMEs with a baseline sustainability assessment, expert guidance, and access to sustainability-linked loans (SLLs) from OCBC.
EnterpriseSG will cover up to 70% of eligible costs for the annual assessment over three years, which includes sustainability ratings, carbon footprint evaluations, and certification and assurance.
OCBC expects 300 SMEs to participate and plans to offer them SLLs.
The bank has partnered with EcoVadis, a global ESG assessment provider, and ESGpedia, a regional carbon management platform, to conduct the assessments.
EcoVadis will evaluate SMEs across environment, labor and human rights, ethics, and sustainable procurement, while ESGpedia will measure greenhouse gas emissions.
Bicycle-sharing provider Anywheel previously worked with OCBC under a similar initiative, completing its first ESG assessment through EcoVadis in 2024.
The assessment helped identify areas for improvement, leading to an SLL from OCBC that incorporated year-on-year sustainability targets.
The programme builds on OCBC’s ongoing efforts to support SME sustainability.
Since launching the OCBC SME Sustainable Finance Framework in 2020, the bank has facilitated green and sustainability-linked loans for about 4,000 SMEs across Asia.
It has also hosted educational webinars covering topics such as energy efficiency and carbon footprint management.
Additionally, OCBC offers the SME Energy Efficiency Assessment tool, developed with Singapore’s Building and Construction Authority, to help SMEs evaluate energy use and explore green financing options.
The tool was expanded to Malaysia and Hong Kong in 2024.
Linus Goh, Head of Global Commercial Banking, OCBC, said,
“Going green is good for business. Our SME and corporate customers are increasingly stepping up to adopt sustainability methods and financing to future proof their businesses.
As large multinational and regional corporates formalise their net-zero ambitions and decarbonisation targets, SMEs that are sustainability-ready differentiate themselves positively and are winning new business in the new supply chains.”
Geoffrey Yeo, Assistant Managing Director of Enterprise Singapore, said,
“There is growing recognition that sustainability will increasingly become a key driver for companies’ long-term success. Enterprise Singapore is pleased to partner OCBC to offer the SME Start-ESG Programme, which provides the necessary tools to make it easier for businesses to set targets, take action, as well as quantify their sustainability performance.
The programme will help equip more companies with the essential foundation to get a headstart in their sustainability journey, and unlock sustainable financing opportunities for their growth plans.”
