Swedish fashion giant H&M has joined forces with Singapore-based DBS Bank to introduce a groundbreaking Green Loan Program. Positioned as a first-of-its-kind initiative, this collaborative effort aims to assist apparel manufacturers in reducing their carbon dioxide (CO2) emissions.

Unveiled in anticipation of the COP 28 climate summit in Dubai, the program offers sustainable financing to support factory upgrades, enabling suppliers to enhance energy efficiency and embark on the path of decarbonization. This pioneering finance tool facilitates access to sustainable financing. The funds provided through this program are intended for apparel manufacturers to invest in upgrading their facilities.

The focus is on implementing measures that not only improve energy efficiency but also contribute to the overall goal of reducing carbon emissions within the fashion industry. By launching this green loan program, H&M and DBS Bank address the pressing need for innovative solutions in the fashion sector to combat climate change.

The initiative reflects a proactive approach to sustainability, aligning with global efforts to reduce the environmental impact of apparel manufacturing. Through collaborative financial tools, the aim is to foster positive changes within the industry, particularly in the crucial areas of energy efficiency and decarbonization.