"Preferential Mortgage Rates for Eco-Friendly Building Certification"... SC First Bank Expands ESG Products

MOU with Korea Institute of Civil Engineering and Building Technology
Implementation from 3Q... Differential Preferential Interest Rates by Certification Grade Applied

Jang Hojun, Head of Retail Banking Group at SC First Bank (left), and Kim Hyunjun, Deputy Director of the Korea Institute of Civil Engineering and Building Technology, are taking a commemorative photo after signing a green finance business agreement on the 28th at the SC First Bank headquarters in Jongno-gu, Seoul. (Provided by SC First Bank)

[Asia Economy Reporter Minwoo Lee] SC First Bank has decided to offer preferential mortgage loan interest rates for eco-friendly buildings.

On the 29th, SC First Bank announced that it signed a Memorandum of Understanding (MOU) on the previous day at its headquarters in Jongno-gu, Seoul, with the Korea Institute of Civil Engineering and Building Technology to apply differentiated financial product policies for green building certified buildings.

The Korea Institute of Civil Engineering and Building Technology operates the green building certification and manages information on the certification results conducted by nine organizations including the Korea Education Green Environment Institute, Korea Green Building Council, and Korea Real Estate Board.

According to this agreement, SC First Bank will receive the latest monthly information on green building certified buildings from the Korea Institute of Civil Engineering and Building Technology and plans to offer preferential mortgage loan interest rates for green building certified buildings in the third quarter. The preferential interest rate benefits will be applied differently based on the certification grade obtained by the building (Green Grade 1~2, Green Grade 3~4).

Green building certification is a system that grants eco-friendly certification to buildings that contribute to energy saving and environmental pollution reduction throughout the entire process including design, construction, and maintenance. It evaluates factors affecting the environment throughout the building's entire life cycle, including location, material selection, construction, maintenance, and disposal, to certify the building's environmental performance. For newly constructed residential houses, a score of 50 or higher receives Green Grade 4, and a score of 74 or higher receives the highest grade certification mark (Green Grade 1).

Jang Hojun, Head of Retail Banking Group (Vice President) at SC First Bank, said, "We are expanding the provision of ESG-related green finance solutions in various ways so that sustainable growth can take root stably across various industries beyond the financial sector," adding, "We hope this Green Mortgage agreement will serve as a catalyst for the development of various green financial products in the financial sector."

This content was produced with the assistance of AI translation services.