Philippines on HSBC’s radar in $4 billion push for China’s green firms

MANILA, Philippines — Banking giant HSBC has rolled out a credit facility worth up to $4 billion aimed at supporting mainland Chinese companies in clean energy and low-carbon sectors to branch out overseas, with the Philippines as a key target destination.

The bank said the initiative connects China’s low-carbon sector with the Philippines, which remains a key hub for renewables in the emerging Association of Southeast Asian Nations (ASEAN) Power Grid.

ASEAN Power Grid is a major regional initiative that seeks to connect member states’ electricity networks and enable cross-border power trading.

“The Philippines is in full stride in its clean energy journey; ambitious renewable targets and a government actively seeking sophisticated foreign investment are creating exactly the conditions where HSBC’s new facility can make a real difference,” HSBC Philippines CEO and head of banking Sandeep Uppal said.

The Philippine government aims to lift the renewable energy share to 35 percent of its power generation mix by 2030 and eventually 50 percent by 2040, with nearly 7,000 projects committed across the sector.

HSBC said the Sustainability and Transition Credit Facility offers financing to mainland China firms across a wide range of sectors, including clean power, electrification of transport, data centers and artificial intelligence.

The bank said it would provide credit limits for eligible companies, streamline credit approvals and develop tailored financial solutions to meet individual business needs.
The financing is also sought to accelerate the rollout of clean technologies and bolster global decarbonization efforts, the bank said.