BBVA grants the first green import financing line for the steel sector for US$40 million to Aceros Arequipa. This new sustainable line will be used for the elimination and reuse of polluting solid waste (recycled steel) that will be transformed into new steel products.
This is the first line of sustainable import financing for the steel sector in Peru. The steel is certified as a sustainable construction material by the International Green Construction Code and the U.S. Green Building Council, being one of the most used components in the construction, infrastructure and transport sectors.
For Aceros Arequipa it is essential to have a strategic plan for the treatment of waste from its steel plant, which has allowed it to consume more than 7.6 million tons of scrap since 2012. This financing will allow it to remain an active participant in the value chain of recycling ferrous scrap in the country.
“Sustainability is a priority on the agenda at all levels of Aceros Arequipa, and along these lines we seek to be at the forefront of good practices, always considering the current needs of society and the planet. This alliance is key to contributing to our circular economy approach, with 100% recyclable products and with a positive impact on the environment,” says Tulio Silgado, general manager of the corporation.
“At BBVA we are committed to advising our clients on integrating sustainability into their business model. Through this new alliance with Aceros Arequipa, we will promote the manufacture of steel products based on recycled solid waste and we will reduce the environmental footprint of the steel sector in the country”, says Paul Bedón, Banker of Corporate & Investment Banking at BBVA Peru.
This sustainable alliance between BBVA and Aceros Arequipa reaffirms its commitment to strengthen the prevention and control of pollution in the country's steel sector, directly benefiting 3 United Nations Sustainable Development Goals (SDGs): SDG 3 Health and well-being, SDGs 11 Sustainable cities and communities; and SDG 12 Responsible production and consumption.
This agreement is part of BBVA's global offer of sustainable transactional products to accompany its corporate clients in their transition towards a greener and more inclusive future. Through its Global Transaction Banking team, it has an innovative Sustainable Transactional Products Framework, a pioneer in the Peruvian market, where it can offer sustainable solutions directly impacting the United Nations SDGs with the certification of the independent sustainability agency DNV.
About Aceros Arequipa
Aceros Arequipa, a leading company in the steel sector in Peru, continues to expand in the region with its own operations in Bolivia, Colombia and Ecuador, also having metal cargo storage yards in Chile and the United States. In June 2022, it joined the United Nations (UN) Global Compact, a voluntary leadership platform for the development, implementation and disclosure of sustainable business practices. In this way, the Peruvian steel company joins more than 16,000 companies around the world committed to adopting responsible business measures against climate change and social inequalities.
Likewise, for the third consecutive year, Aceros Arequipa entered the Dow Jones Sustainability MILA Pacific Alliance Index, which measures the performance of companies considered the best in their class for their sustainability practices, recognized and valued by global investors, ranking in the 3rd position in the world steel industry, together with Hyundai Steel from Korea and Fortescue Metals, from Australia, leading the evaluation in the industry at the Latin American level.
It was also included in the 2023 S&P Global Sustainability Yearbook for outstanding performance on environmental, social and governance issues, earning Top 5% S&P Global ESG Score recognition in the yearbook.
Additionally, it has international certifications such as ISO 14001 and the third star in Carbon Footprint awarded by the Ministry of Environment, recognition for its implementation of initiatives to reduce its carbon footprint and continuous investments in technologies to promote the circular economy.
About BBVA
The BBVA Group tripled its commitment to mobilize sustainable funds in all its geographies for up to 300,000 million euros by 2025. At the end of the third quarter of 2022, BBVA globally channeled 134,000 million euros in sustainable financing, a figure that places the BBVA Group as one of the world's leading banks in
