Banking personnel enhance understanding of environmental monitoring
Banking personnel enhance understanding of environmental monitoring
The Ministry of Industry and Commerce's SME Promotion Department has helped banking personnel from various commercial banks in Laos to improve their understanding of the environment and social assessment measurement.
The government recently approved loans and assistance from the International Development Association (IDA) and World Bank for a total amount of US$20 million to improve access to funding for small and medium d enterprises (SMEs).
The entire amount is to be divided up for different purposes with US$12 million to be used for the provision of SME funding through lines of credit and US$5 million set aside for building capacity on technical assistance in the SME sector. The balance of US$3 million is to create a risk sharing facility scheme to minimise the risks inherent in the provision of loans by the commercial banks that are involved in the project.
In his opening remarks Director General of the SME Promotion Department Mr Somdy Inmixay, said that the meeting was organised to enhance the understanding of how to measure the negative impacts on the environment and society.
“Most importantly, the commercial banks will have to understand the risks of funding any investment projects that may cause negative impacts on the environment and society,” he said.
In addition the meeting's participants also learned about corporate social responsibility and other related issues.
Ken Green, a senior environment and social consultant at the SME Promotion Department, spoke on potential environmental and social risks and impacts in the SME portfolio and gave an overview of key concepts, tools, processes, product risks and challenges.
