SANTO DOMINGO. – In the context of the celebration of World Environment Day on June 5, Banco Popular Dominicano reported that the amount of loans granted by its green finance portfolio "Hazte Eco" increased by 21% in the last year, with a total portfolio that closed in May 2023 exceeding RD$12,571 million.
In this way, the "Hazte Eco" green product portfolio, the broadest in the financial sector and a pioneer in this field, consolidates its sustained growth with multiple financing solutions for families and businesses.
"This demonstrates the growing interest of the population in changing towards more eco-friendly lifestyles, finding in 'Hazte Eco' a financial offer that allows them to channel this goal of caring for the environment," says a press release from the financial institution.
It adds that, in particular, the total amount of financing for the purchase of hybrid and electric vehicles amounted to RD$989 million in May 2023. Meanwhile, Eco loans for home renovations and the purchase of efficient appliances and loans for photovoltaic installations reached RD$856 million during the same period.
"Since their launch in November of last year, the Extrahogar Eco and ExtraEco revolving loans and the HipotEco mortgage loan have shown a growth of 125%.".
Green Financing
Banco Popular states that in its eco-efficient offer for companies and professionals, "Hazte Eco" also includes Green Leasing, a lease agreement through which customers can also finance the purchase of solar panels and hybrid and electric vehicles, with tax advantages, since they obtain tax savings by offsetting the ITBIS of the purchase.
This financing agreement establishes a residual value for the asset in advance. Through monthly payments, the client acquires this asset while preserving their working capital.
"As of May 2023, Green Leasing totaled RD$442 million in financing, with solar panels being the most financed assets under this modality, with a total amount of RD$200 million, followed by hybrid and electric vehicles with RD$182 million and, finally, electrical equipment with RD$60 million," the press release states.
He adds that at the business level, "Hazte Eco" also helps to boost the generation of renewable energy in the country, creating large-scale business opportunities, since Banco Popular is the main financier and guarantee agent in six photovoltaic, wind or biomass parks in the country, with a portfolio that currently stands at US$188 million.
In addition, the financial institution supports investment in renewable energy projects by acting as a guarantee agent, currently holding and managing assets valued at approximately US$130 million.
Sustainable vision
In addition to green products and services, Hazte Eco compiles the different environmental sustainability and eco-efficiency actions that the financial organization has underway within Banco Popular and that reflect its institutional response to reduce the carbon footprint in the country and face the challenges posed by the climate crisis.
This sustainable vision of the financial organization responds to its Responsible Banking model and earned it recognition in 2021 from the National Council of Private Enterprise (CONEP) and the United Nations Development Programme (UNDP) as a Promising Practice for positively impacting the country at an economic, social and environmental level, thereby contributing to the achievement of the Sustainable Development Goals.
