H&M Group Publishes New Sustainable Finance Framework
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H&M Group has published a Sustainable Finance Framework encompassing a new Green Finance Framework and an updated Sustainability-Linked Finance Framework.
- With a combined Green Finance Framework and Sustainability-Linked Finance Framework, H&M Group further aligns its financing strategy with its sustainability roadmap.
- H&M Group’s Framework provides an overview of eligible green projects, as well as industry-leading goals for recycled materials and GHG emissions reduction.
- The Sustainable Finance Framework offers flexibility in the issue of financial instruments, including green finance and sustainability-linked finance instruments.
The Green Finance Framework specifies eligible green projects under the International Capital MarketAssociation (ICMA) categories Circular Economy, Green Buildings, Renewable Energy, Energy Efficiency and Sustainable Water Management and Wastewater Management. The Sustainability-Linked Finance Framework includes 2030-target for recycled materials in commercial goods and H&M Group’s ambitious Science-Based Targets for GHG emissions reductions.
Our combined Sustainable Finance Framework shows our high ambition and the decisive steps we are taking to contribute to a sustainable fashion industry.
said Adam Karlsson, CFO H&M Group
“With this framework we further incorporate our sustainability journey into our financing strategy by providing investors with a transparent view into our roadmap, associated investments and key goals towards becoming a circular and net-zero emissions company by 2040.”
S&P Global Ratings has reviewed the Framework and provided a second-party opinion confirming alignment with the ICMA Green Bond Principles 2021 and Sustainability-Linked Bond Principles 2023 as well as the LMA Green Loan Principles 2023 and Sustainability-Linked Loan principles 2023.