HSBC Launches Infrastructure Finance Unit

HSBC has launched a new division dedicated to infrastructure finance and project finance deals related to the global transition to lower-carbon energy, Reuters reports.

HSBC Infrastructure Finance aims to capture a meaningful share of deals in key markets. It will also integrate elements of the bank’s Global Banking Real Asset Finance team, including infrastructure finance, export finance and portfolio management.

The new unit aims to expand the bank’s debt origination and distribution businesses, including by fostering new relationships with both public and private sector entities.

The launch comes as HSBC and other banks have increased their efforts to align their operations with their corporate commitment to achieve net-zero emissions by 2050.

Greg Guyett, CEO of Global Banking and Markets at HSBC, said:  "HSBC has a leading presence in the regions where infrastructure financing and project finance advisory capabilities are critical to enabling a just transition to a low carbon economy."

The division will be led by Danny Alexander, who served as UK government minister until 2015 and is currently the vice president for policy and strategy at the Asian Infrastructure Investment Bank (AIIB).

Upon starting his new London-based role at the bank in November, Alexander will join the global banking and markets executive committee and report to Guyett.

Alexander’s appointment aims to accelerate efforts to collaborate with governments, multilateral developments banks and companies, including supporting the UK government’s new initiatives.

Following the announcement of Alexander’s appointment, Jin Liqun, president and chair of the board of directors for AIIB, said: “Danny has been instrumental in expanding AIIB’s membership, shaping the Bank’s strategic direction and strengthening our policy framework.”