Farmers and growers offered lower cost lending to kick great green ideas into gear

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Bank of New Zealand has established a new loan available to agribusinesses with plans to introduce low emissions transport, renewable energy systems, sustainable land use or improvements to water and healthy ecosystems.

BNZ’s Green Business Loan is available to support and incentivise farmers and growers on their sustainability journey by offering preferential green loan rates compared to BNZ’s standard loan term offering, fixed for up to three years.

BNZ General Manager of Agribusiness David Handley says, “BNZ agribusiness is driven to support farmers regardless of the stage they are at on their environmental journey.

“We’ve been building a suite of sustainable finance products to deliver on that. Adding Green Business Loans to our product offering means that BNZ agribusiness customers now have several options to consider as they build sustainability into their business model.

“Our new Green Business Loans allow for cheaper access to capital for projects which will green operations, while our existing Agribusiness Sustainability Linked Loans (SLL) provide the ability to link new sustainability goals to existing or new debt to incentivise change across the business.”

BNZ is now the only rural lender to have an incentive-based product (Sustainability Linked Loans) and an asset and project-based product (BNZ Green Business Loan) available to farmers and growers across New Zealand.

“BNZ Green Business Loans are great for a wide range of agribusinesses engaging in specific projects such as fencing, environmental capex upgrades or investment, such as effluent ponds, building standoff or wintering pads, purchasing electric farm vehicles, native plantings, planting of waterways, and so forth,” says Handley.

Lending criteria, terms and fees apply, including those that apply to the base product.

For more information about BNZ’s Green Business Loan click here: BNZ Green Business Loans