DBS Bank India Extends ₹670 Crore Sustainability-Linked Trade Facility to Indorama
Divyesh Dalal, managing director and country head – global transaction services, corporate banking – financial institutions and SMEs at DBS Bank India, said sustainability-linked financing allows the bank to align capital deployment with long-term environmental outcomes.
Mumbai, December 23: DBS Bank India on Monday announced the extension of its largest Sustainability-Linked Trade Facility (SLTF) to date, amounting to ₹670 crore, to Indorama India Private Limited, a wholly owned subsidiary of Indorama Corporation Pte Ltd.
The transaction marks the largest sustainability-linked trade facility arranged by DBS Bank India and underscores the bank’s commitment to responsible banking and supporting clients that embed sustainability into their growth strategies.
Designed to promote sustainable manufacturing in eastern India’s fertiliser sector, the facility links trade finance to clearly defined environmental performance targets. Under the structure, Indorama India will be incentivised to achieve measurable reductions in greenhouse gas emissions intensity, water use intensity, and energy intensity, aligning its operations with globally recognised Sustainability-Linked Loan Principles.
The SLTF encompasses a range of trade finance instruments, including letters of credit, purchase invoice financing, and buyer’s credit import advance, enabling Indorama India to efficiently manage working capital requirements related to trade, procurement, and business operations. DBS Bank India said the transaction also reflects its strong structuring capabilities in delivering complex, cross-border financial solutions.
Divyesh Dalal, managing director and country head – global transaction services, corporate banking – financial institutions and SMEs at DBS Bank India, said sustainability-linked financing allows the bank to align capital deployment with long-term environmental outcomes. He added that the mandate highlights DBS Bank India’s ability to support clients as they integrate sustainability into their business models while delivering meaningful impact.
Manish Kumar Agarwal, chief financial officer of Indorama India, said the partnership with DBS strengthens the company’s liquidity position while reinforcing its commitment to environmental, social and governance principles. He noted that the facility aligns Indorama’s business growth with responsible practices and supports the company’s broader sustainable finance agenda.
The Indorama transaction builds on a series of sustainable finance mandates executed by DBS Bank India in 2025. In December, the bank acted as sole adviser and green loan coordinator for a ₹1,280 crore green loan facility for Tata Realty and Infrastructure Ltd. Earlier in June, DBS structured a USD 80 million green financing for Aseem Infrastructure. At the group level, DBS Bank Indonesia announced a USD 20 million sustainability-linked trade finance facility for PT Indo-Rama Synthetics Tbk in January 2025, following a USD 10 million credit facility completed in 2024.
DBS Bank India continues to receive industry recognition for its corporate and sustainable finance capabilities. In 2025, it was named Best Bank for Corporate Banking and Best Bank for Corporate Cash Management by CRISIL Coalition Greenwich, while Global Finance recognised it as Best Bank for Sustainable Finance in India in 2024.
Indorama India is a major player in India’s fertiliser sector, with operations spanning phosphatic and urea fertilisers, customised fertilisers, agri-inputs, and industrial materials. The company operates manufacturing facilities in West Bengal and Uttar Pradesh and also runs a spandex yarn manufacturing unit in Himachal Pradesh, serving both agricultural and industrial markets.
