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MUFG and JICA establish Sustainable Finance framework


28 July 2025 Japan
Reporter: Zarah Choudhary

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Image: chokniti/stock.adobe.com
Mitsubishi UFJ Financial Group (MUFG) and its consolidated subsidiary, MUFG Bank, have established a Sustainable Finance framework with Japan International Cooperation Agency (JICA).

The framework defines the sustainable finance requirements for co-financing to be provided by MUFG Bank and its partner banks Krungsri (Bank of Ayudhya in Thailand), Bank Danamonin Indonesia, VietinBank in Vietnam, Security Bank in the Philippines, and their consolidated subsidiaries, collectively partner banks, with JICA.

The framework applies exclusively to projects that contribute to the resolution of environmental and social issues, and facilitates loans such as, green loans, which are extended to projects that address environmental impact, social loans, which are for projects that address social issues, and sustainability loans, which are for projects that are aimed at resolving both environmental and social issues.

The framework, established through collaboration between JICA and MUFG Bank, has been evaluated by Moody’s, an independent third party, as being consistent with various international principles and guidelines for sustainable finance.

According to MUFG, through this framework, MUFG Bank, its partner banks, and JICA will redouble their efforts to realise a sustainable future.
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