French export credit agency Bpifrance Assurance Export has become the 17th signatory to the Poseidon Principles.
The agency, which is part of France's national investment bank Bpifrance, is the first credit insurer to sign up to the green lending initiative. The Poseidon Principles programme aims to align lenders with the IMO's plans to cut carbon emissions.
The company said it has made its commitment to the Poseidon Principles scheme on behalf of the French state.
Bpifrance underwrites "several billion" euros of export credit guarantees for cruiseships every year through Bpifrance Assurance Export, a release said on Thursday.
In joining the Poseidon Principles, the bank said it wishes to encourage "the industry, shipyards and ship owners to favour the greenest existing technologies for their future ships".
François Lefebvre, general manager of Bpifrance Assurance Export, said the bank and Chantiers de l’Atlantiqu, a major shipyard in Saint-Nazaire, are "strongly committed" to the ecological transition of the French shipping industry.
The bank said joining the Poseidon Principles supports France's 'Pacte Productif' strategy, in which the country has committed to achieving carbon neutrality by 2050 and to making its shipping industry greener.
Asian lenders waiting in the wings
With this latest European signatory, all eyes will be on whether the Poseidon Principles initiative will finally achieve its first commitments from Asian lenders.
An executive of Shanghai’s Bank of Communications Financial Leasing (Bocomm Leasing), one of China's two biggest ship finance lessors, told TradeWinds in mid-January that the bank would join the initiative if it was invited, but it had not been asked so far.
Days later, Michael Parker, chairman of the Poseidon Principles, told TradeWinds that a number of Asian and Chinese lenders are close to agreeing to sign.
"We do want all the Chinese lenders and lessors to sign up to the Poseidon Principles," said Parker, who is chairman of Citigroup’s logistics and shipping unit.
