The Mauritius Commercial Bank Ltd. (MCB) is pleased to announce its adoption of the Equator Principles, a voluntary set of guidelines to assess and manage environmental and social risks in project finance. The Equator Principles were introduced in 2003 under the aegis of the World Bank and International Finance Corporation.
The MCB is proud and honoured to follow the steps taken by 76 financial institutions in adopting the Equator Principles. This credit risk management framework will provide MCB with even better guidelines in evaluating environmental and social risks in project finance transactions where total projects capital costs exceed USD 10 million.
Adopting the Equator Principles is in line with our major internal program, “Initiative 175” launched in 2009, which aims at promoting sustainable development.
This new commitment heightens our dedication to promote responsible financing and sustainable development. It follows two important steps already taken by MCB under the United Nations Global Compact and the implementation of an Environmental and Social (E&S) Policy as from 30 April 2012. Since then, the Bank is officially committed to evaluate and manage E&S risks for loans of an amount equal or above USD 2 million with minimum maturity of 24 months.
The Bank’s adoption of the Equator Principles is yet another step forward in ensuring that environmental and social considerations are taken into account before financing major projects.