BOJ says 43 lenders qualified to tap its climate loan scheme

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FILE PHOTO: A security guard walks past in front of the Bank of Japan headquarters in Tokyo

TOKYO -The Bank of Japan (BOJ) said on Friday 43 financial institutions qualified to receive loans under a new scheme aimed at promoting activities to combat climate change.

Japan’s three megabanks were among those that qualified for the programme, the BOJ said in a statement.

The BOJ said it would conduct the first auction for the loans on Dec. 23.

In July, the BOJ laid out an outline of the climate scheme under which it will offer zero-interest loans that can be rolled over until 2030 to banks that boost green and sustainable loans.

Financial institutions are required to disclose targets and actual results on green investment and loans, as well as what steps they are taking to meet disclosure rules.

The BOJ’s green plans come as other major central banks seek to use their institutional heft to tackle climate change.

(Reporting by Leika KiharaEditing by Chang-Ran Kim and Mark Potter)