Standard Chartered has introduced a pioneering Sustainable Escrow and Account Bank solution across the United Arab Emirates, including the Dubai International Financial Centre, and the United Kingdom. This initiative marks a significant development in sustainable finance, enabling clients to deposit funds into escrow or secured accounts aligned directly with the bank’s portfolio of vetted green and social projects.
The funds under this new offering are governed by Standard Chartered’s publicly available Green and Sustainable Product Framework, developed in partnership with Sustainalytics. This framework rigorously defines the bank’s eligibility criteria for green, social, or sustainable activities. It ensures full traceability, transparency, and sustainability compliance, providing clients the confidence that their funds support real-world environmental, social, and governance (ESG) impact initiatives. The bank’s sustainable finance asset base includes investments in renewable energy, energy efficiency, sustainable infrastructure, clean transportation, and social projects aligned with the United Nations Sustainable Development Goals.
Sandrine Jourdainne, Global Head of Deposits, Liquidity and Escrow Solutions at Standard Chartered, emphasised the dual purpose of the solution: “We’re playing our part in empowering our clients to channel their funds into projects and loans that have real-world positive impact, securely and transparently,” while also supporting clients’ financial and sustainability objectives with effective risk management.
This launch is part of Standard Chartered’s broader sustainable finance agenda. The institution has mobilised $105 billion towards sustainable finance between January 2021 and June 2024, targeting a total of $300 billion by 2030. The bank’s approach integrates sustainability deep into financial infrastructure, helping to close an estimated $4 trillion annual financing gap essential for achieving global sustainable development goals.
Serving as an independent escrow agent and account bank, Standard Chartered safeguards deposited funds while aligning their management with its sustainable finance priorities. This service not only enhances cash management strategies for corporate and institutional clients but also embeds ESG principles directly into treasury and transaction banking operations, delivering on both purpose and performance.
The solution complements other recent innovations by Standard Chartered in the UAE’s evolving financial landscape, such as the introduction of a digital asset custody service licensed by the Dubai Financial Services Authority at DIFC, which caters to institutional clients seeking secure storage for cryptocurrencies like Bitcoin and Ethereum. These moves align with the UAE’s broader ambition to be at the forefront of future finance, combining traditional banking expertise with emerging sustainable and digital asset needs.
By launching this sustainable escrow and account solution, Standard Chartered sets a benchmark in offering bespoke banking products that meet the growing demand for responsible investment and sustainable cash management. This also supports the UAE’s sustainability agenda and global trends toward integrating ESG considerations into mainstream financial products and services.
Overall, the bank’s innovation reflects a deepening commitment to sustainability in financial markets, providing clients with tangible tools to participate in and benefit from the transition to a greener, more sustainable economy.
Source: Noah Wire Services
