⁍ Latin America’s largest corporate borrowers are doubling down on their commitment to sustainable finance.

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⁍ Cemex amended approximately US$3.2bn in existing bank loans to tie its debt costs to sustainability-linked targets.

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⁍ Millicom International Cellular is also in discussions with lenders about refinancing a US$600m revolving credit facility.

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– Latin America’s biggest corporate borrowers are trying to cut down on their carbon footprint by tying new bank loans to more transparent environmental, social, and governance (ESG) metrics. Millicom International Cellular, which focuses on Latin America telecommunications with its brand Tigo, is also in discussions with lenders about refinancing a $600 million revolving credit facility with sustainability-linked pricing, according to two sources familiar with the deals. Mexican cement maker Cemex amended approximately $3.2 billion in existing bank loans to tie its debt costs to sustainability-linked targets, Reuters reports. Cemex’s loans and Millicom’s potential refinancing follow two transactions that were completed over the summer in Chile. Pulp and paper company Empresas CMPC and glass bottle maker Cristalerias Toro signed a $100 million loan in August and a $40 million loan in July, respectively. BNP Paribas was sustainability coordinator on CMPC’s loan, according to a press release from the bank on August 7. “Looking at the deals that have been done this year (sustainability-linked financing) has taken off. There’s a concerted effort across the region, from smaller, green loans to larger mandates across different sectors,” Anne van Riel, co-head of sustainable finance capital markets at BNP Paribas, tellsLPC. “Banks have been hiring to ramp up their sustainable financing capabilities. This is important, and to make an impact as a financial institution, we can’t do that by ourselves.”