By Terry Tinkess
AgriNews Staff Writer
TORONTO – BMO Canadian Business Banking has announced the launch of Greener Future Financing. It is the first climate financing program, which has been developed to help agriculture businesses looking to build future-ready, climate resilient operations.
BMO has committed $30 million to a climate related financing product for small and medium sized enterprises across Canada. The program is designed to help farmers and business owners access capital to make the investments needed to reduce carbon emissions and adapt to the effects of climate change.
As part of this new program, clients can receive guidance and advice on the impacts of climate change and the value of climate-related protection measures.
Both new and current agriculture business banking clients will also potentially be eligible for a discount of up to one per cent on new loans for investments in reducing emissions or implementing climate resilience measures. Loan proceeds can be used for investments in renewable energy such as solar power and geothermal energy, energy efficiency including LED lighting, heat pump systems, smart meters and other performance monitoring equipment, flood proofing and more.
“BMO’s Greener Future Financing program provides business owners with the support to make bold investments in sustainable business practices that will position them to become more climate resilient and prepared for a lower carbon economy,” said Mike Bonner, head, Canadian Business Banking, for BMO.
“Our purpose, to boldly grow the good in business and life, inspires us to find opportunities to be our clients’ lead partner in the transition to a net-zero world and drive progress towards a thriving economy, sustainable future and inclusive society.”
Michael Torrance, chief sustainability officer, for BMO said the lender recognizes the role played by the sector in caring for the environment.
“Our farmers and agri-businesses sit at the forefront of environmental stewardship; many have implemented land management practices to build soil health and improve carbon storage, said Torrance. “Supporting agri-business clients to help them make progress toward their climate goals can help to lower emissions and build resilience to changing weather patterns.”
In 2021, BMO announced its Climate Ambition to be its clients’ lead partner in the transition to a net-zero world and launched the BMO Climate Institute. BMO’s Climate Ambition builds on BMO’s previous commitment to mobilize $300 billion by 2025 in sustainable lending and underwriting to companies pursuing sustainable outcomes.
To learn more about BMO Greener Future Financing, connect with a BMO relationship manager or visit www.bmo.com/agriculture.
BMO Financial Group is the eighth largest bank in North America by assets, with total assets of $1.15 trillion as of Jan. 31.