Japan’s Dai-ichi Life Insurance has extended a 1.8 billion yen (US$16.92 million) five-year sustainability-linked loan to seafood producer Thai Union Group Public to help fight illegal fishing.
The Thai firm, which is active in combatting illegal, unreported and unregulated fishing, has been a constituent of the S&P Dow Jones Sustainability Indices for seven consecutive years.
The interest rate on the loan will be calculated based on key performance indicators, determined by whether Thai Union can help the insurer maintain its ranking in the same indices and achieve its greenhouse gas reduction target, Dai-ichi Life says in a statement on February 16.
The insurer expects the loan to provide “motivation for the further promotion of Thai Union's sustainability initiatives” and “back continued work around sustainable fishing and marine resource conservation”.
The loan is arranged by Thailand’s Bank of Ayudhya and Japan’s Mizuho Bank and MUFG Bank.
Tokyo-based Dai-ichi Life had 39.18 trillion yen of total assets as of December 2020.