Seibu Railway has secured a sustainability-linked loan amounting to 11 billion yen (US$73.1 million) from the Development Bank of Japan to enhance its sustainability management.

The loan is based on the Sustainability-Linked Loan Principles and the Green Loan and Sustainability-Linked Loan Guidelines. The financing agreement sets key performance indicators (KPIs) and sustainability performance targets (SPTs) for Seibu Railway. It  promotes and supports the realization of a sustainable society, through the resolution of environmental and social issues, while also facilitating sustainable corporate growth, according to the company.

Seibu Group aims to achieve net-zero carbon emission by fiscal year 2050.

Proceeds from the loan will be used towards investments in railway infrastructure, including the introduction of environmentally-friendly new vehicles and energy-saving equipment.

Throughout the loan period, Development Bank of Japan will engage in regular dialogues with the borrower to support the achievement of the SPTs.