DBS Indonesia Strengthens ESG Financing Leadership to Support Indonesia’s Sustainable Transformation

As Indonesia targets 8% economic growth by 2028–2029, sustainable financing emerges as a key pillar in its decarbonization and modernization journey.

Indonesia is at a critical crossroads in its sustainability transition, with the government estimating a need for over USD 280 billion in energy transition financing by 2030.

However, only 30% of this funding can come from public sources, highlighting the essential role of private capital and cross-border partnerships in meeting sustainability goals.

DBS Indonesia is stepping up as a key enabler of green finance, deepening its commitment to ESG-linked lending and sustainable financing solutions.

“We see ESG-driven financing as essential to accelerating Indonesia’s energy transition and meeting its Net Zero 2060 goals. DBS plays a catalytic role by offering instruments such as Sustainability-Linked Loans (SLLs) and Green Loans, alongside market insights and pan-Asian connectivity.”

– Kunardy Lie, Head of Institutional Banking Group, DBS Indonesia

Why This Matters for Wealth Managers and Investors

Indonesia offers long-term investment opportunities across green infrastructure, sustainable agriculture, digital transformation, and electric mobility. DBS Indonesia’s recent financing deals highlight its commitment to ESG and sustainability:

• USD 20 million Sustainability-Linked Trade Facility (SLTF) to PT Indo-Rama Synthetics, supporting a Singapore-linked polyester producer.
• Rp 1.7 trillion club loan (co-led with UOB) to Princeton Digital Group, backing its AI-powered data center expansion in Cibitung.
• Rp 350 billion Sustainability-Linked Loan (SLL) to PT CJ Feed & Care Indonesia, targeting 25% GHG emissions reduction in agri-production by 2030.
• USD 50 million trade facility to Permata Group, enabling the scaling of biodiesel sales.

Ongoing financing for Kaer, a sustainable cooling solutions provider for industrial and commercial buildings.

Recognition & Awards: These impactful deals have earned DBS Indonesia the titles of “Indonesia’s Best Bank for ESG” (Euromoney) and “World’s Best Bank for Sustainable Finance 2025” (Global Finance).

Read more about Google Strikes 10-Year Wind Energy Deal with Exus Renewables to Power Spanish Operations.

Driving Regional M&A with ESG at the Core

Beyond sustainable lending, DBS is actively shaping ESG-focused M&A transactions. In a landmark deal, DBS Bank Ltd. acted as sole financial adviser for PT TBS Energi Utama’s 100% acquisition of Sembcorp Environment (Singapore), marking a major expansion in waste and environmental management across Southeast Asia.

DBS’s broader partnership with TBS Energi Utama also includes:

• USD 33 million club deal (with Bank Mandiri) to fund Asia Medical Enviro Services’ (AMES) acquisition in Singapore.
• USD 15 million facility (via PT Energi Kreasi Bersama - Electrum) to accelerate electric motorcycle adoption in Indonesia, backed by the Asian Development Bank.

What This Means for Private Capital and Family Offices

For HNW/UHNW individuals, single-family offices, and independent asset managers, DBS’s expanding ESG footprint in Indonesia presents a scalable, real-world ESG investment blueprint.

As sustainable finance gains traction across Asia’s private wealth sector, institutions like DBS are setting new benchmarks for profitable yet responsible investing in emerging markets.

“Sustainable finance is central to shaping a low-carbon future for the region. Our collaboration with TBS and others reflects our ambition to be the ‘Best Bank for a Better World,’ aligning commercial objectives with environmental stewardship and responsible growth.”

– Kunardy Lie, DBS Indonesia

Final Thoughts

DBS Indonesia is not just adopting ESG finance—it is leading it. As the country accelerates towards net zero and economic modernization, DBS’s innovative financing models, regional connectivity, and advisory expertise are positioning it as a pioneer in sustainable finance across Southeast Asia.

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