The International Finance Corporation committed a USD 100 million loan to Santander Chile, announced on 8 April 2025, to finance projects meeting defined green building standards, marking the first IFC green loan in Chile dedicated exclusively to environmentally friendly construction. The transaction is also the first loan of its kind from IFC to the Santander Group worldwide.
EDGE CERTIFICATION
The loan is structured with a sustainability-linked incentive tied to Santander Chile's performance against EDGE certification targets. EDGE — Excellence in Design for Greater Efficiencies — is an IFC-developed green building standard that assesses resource efficiency in energy, water, and materials. Under the terms of the facility, Santander Chile must demonstrate that sub-projects financed from the loan's proceeds achieve EDGE certification, with the incentive mechanism adjusting the financial terms of the loan based on whether those key performance indicators are met.
Santander Chile will use the proceeds to finance green construction sub-projects aligned with EDGE certification, with IFC also providing advisory services to support certification.
WORLD BANK GROUP AND IFC COMMENTS
Jean-Marc Arbogast, World Bank Group Country Manager for Chile, described the transaction as an important milestone for the World Bank Group in Chile, noting that IFC and Santander had worked together over the previous year to identify, finance and monitor green building projects.
IFC said the financing would help the construction sector reduce carbon emissions and build a more resilient future for Chile.