On 7 November 2024, the Loan Market Association
("LMA") released model provisions for
green loans to be included in LMA-form facility agreements (the
"Green Loan Provisions"). These
provisions are designed to align with the Green Loan Principles
("GLP") and related guidance, which were
jointly published by the LMA, the Loan Syndications and Trading
Association, and the Asia Pacific Loan Market Association in
February 2023 — an initiative we have previously discussed. The Green Loan
Provisions offer a foundation for green loans, reflecting current
market practices. They are not intended to be a
"one-size-fits-all" solution, but rather require
tailoring to suit the specifics of each transaction, sector, and
asset class.
