The bank has successfully supported Louis Dreyfus Company India in securing sustainable financing for the procurement of palm oil certified by the RSPO
FinTech BizNews Service
Mumbai, February 8, 2024: In line with its commitment to responsible banking, DBS Bank India has successfully supported Louis Dreyfus Company India Pvt Ltd (LDC) in securing sustainable financing for the procurement of palm oil certified by the Roundtable on Sustainable Palm Oil (RSPO). The transaction was facilitated through DBS Bank Limited; Singapore and this milestone was achieved through the implementation of the bank's innovative Supplier Payment Services (SPS) solution.
By providing early payment options and improving financial stability for suppliers, DBS Bank’s SPS solution reduces the risk of disruptions, resulting in a more stable and resilient supply chain for clients. Furthermore, it promotes supplier inclusion, empowering the bank's clients to expand their supply chains and diversify their sourcing options. The SPS solution enables the bank to make early payments on behalf of clients to their suppliers, allowing them to preserve liquidity and while reducing cash flow pressures on the suppliers. The solution is entirely digital and tailored to meet the client's specific needs.
The RSPO plays a crucial role in promoting sustainability within the palm oil industry and its supply chain by enforcing globally recognised standards. Certified producers undergo regular audits to ensure adherence to these standards, demonstrating their dedication to responsible practices. This initiative aligns with the bank's broader efforts to enhance sustainable financing and offer solutions that empower its clients to further their sustainability goals.
Divyesh Dalal, Managing Director & Head of Global Transaction Services, SME and Institutional Liability Business, DBS Bank India, said, "This transaction represents a significant milestone, underscoring the crucial role of sustainable financing in catalysing positive change. Our innovative SPS solution not only provides scalable and sustainable financing solutions to our clients but also champions responsible sourcing practices and facilitates optimised working capital management. By combining financial innovation with a strong commitment to sustainability, we are empowering businesses to make a lasting impact on the environment and society."
DBS Bank is renowned for its expertise in supply chain financing and goes beyond traditional banking to enable responsible solutions for large enterprises, their supplier networks as well as small and medium businesses, empowering them to streamline operations for enhanced efficiency. The bank's extensive Asian network and deep expertise in customising sustainable solutions enable businesses to mitigate risks and seize growth opportunities.
