SMBC Says Banks Keen to Finance SAF Projects Face Key Risks
Customers stand in line in front of a branch of Sumitomo Mitsui Banking Corp. in Tokyo.
Photographer: Kiyoshi Ota/BloombergThis article is for subscribers only.
Banks are keen to finance sustainable aviation fuel projects, but face key risks including uncertainty over feedstock supplies and changing policy mandates around the fuel, according to Sumitomo Mitsui Banking Corp.
“We are very open” to SAF projects, Siddhartha Shrivastava, head of new energies in Asia at SMBC, said at the Argus Biofuels & Feedstocks Asia Conference in Singapore on Monday. The bank is currently advising on debt raising for several SAF projects, including in Malaysia, Sweden and the US, and is in discussions on lending in Asia and Europe, he said.