LHV has also begun offering green loans to companies

21. October 2020

LHV has supplemented its selection of green financial services with favourable green loans for companies. The desire to operate in the long term also requires a long-term view, which is why we have developed special offers for environmentally friendly loans.

This spring, LHV presented its green action plan and came out with the first green loans to support the transition of the Estonian economy to a greener operating model. While private clients have already taken green loans and 10% of home loans were already green in September, this week also saw the addition of green business loans – a green investment loan and a green loan for housing development.

According to Marko Kiisa, Head of SME Financing at LHV, it is time for companies to start directing their investments towards more energy-efficient solutions. ‘Capital has turned green, which should not be overlooked. Companies are increasingly reviewing their production and supply chains, daily consumption and environmental impact. By tackling these issues today and involving professionals in their field, investments in energy efficiency can pay for themselves in as little as one to five years. In this way, only energy savings can be used to pay off a bank loan; the future is already pure savings’, said Kiisa.

‘We encourage everyone whose business requires a significant amount of daily electricity consumption to produce green electricity for their own use. In the case of high self-consumption, the investment in solar energy will be profitable within six to nine years, sometimes even faster, and the benefits are direct – be it in the form of cleaner nature or the more efficient use of resources’, he added.

Desiring to promote a green revolution in Estonian business and the economy, LHV offers green investment loans to companies. The interest rate on an investment loan is 3.5% + 6-month euribor, and LHV’s partners are DeltaE Inseneribüroo, Energiapartner and Solar4you.

The green loan for housing development is intended for developers who are building A-energy class houses so that the Estonian people can enjoy exemplary apartments in terms of energy use. The investment loan intended for A-energy class housing developers has an interest rate that is 0.5% lower than usual.

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