Copenhagen, Denmark — Major lender to international shipping and one of Japan’s largest asset managers, Sumitomo Mitsui Trust Bank (SMTB), announced that it is the latest financial institution to join the Poseidon Principles. The Principles have been developed by international shipping banks, in collaboration with leading maritime industry players, to promote greener global shipping. They establish a common, global baseline to quantitatively assess and disclose whether financial institutions’ ship lending portfolios are in line with decarbonization targets.
With SMTB’s commitment, Signatories to the Poseidon Principles now represent over $150 billion in loans to international shipping — more than a third of the global shipping finance portfolio.
“Through becoming a signatory of the Poseidon Principles and as a member of the maritime cluster, SuMi TRUST Bank will continue to support its clients’ business activities and to contribute to shape a better future for the shipping industry and our society,” said Sumitomo Mitsui Trust Bank in a statement.
“Financial institutions play an important role in promoting maritime shipping’s transition to a low carbon economy. SMTB is leading by example by becoming the first Asian bank to sign on to the Poseidon Principles. Asia is a major center for ship finance, and the decision by SMTB will encourage other Japanese and Asian financial institutions to follow their lead in the coming months,” said Michael Parker, chair of Global Shipping Logistics & Offshore at Citi and Chair of the Poseidon Principles Association.
18 financial institutions have joined the Poseidon Principles including ABN Amro, Amsterdam Trade Bank, BNP Paribas, Bpifrance, Citi, Credit Agricole CIB, Credit Industriel et Commercial, Credit Suisse, Danish Ship Finance, Danske Bank, DNB, DVB, Export Credit Norway, ING, Nordea, Société Générale, Sparebanken Vest and Sumitomo Mitsui Trust Bank.