AU Small Finance Bank introduces ‘Planet First – AU Green Fixed Deposit’
By Gloria Mathias
AU Small Finance Bank (AU SFB) has introduced its Green Fixed Deposit (FD) called Planet First (AU Green Fixed Deposit) to allocate its entire proceeds to support renewable and green projects, including solar power, electric mobility solutions, etc.
The Green Deposit policy and framework would further complement AU SFB’s intent on climate action. By channelling funds through the green route and lending towards green assets, AU SFB’s efforts on sustainability will continue to evolve.
The Planet First-AU Green Fixed Deposit offers an attractive interest rate of up to 8.50% with a minimum investment requirement of only Rs 5,000. This new offering allows both AU SFB’s existing and new customers to secure their Green FD conveniently through Video Banking, the AU 0101 App, Net Banking, or by simply visiting their nearest AU Small Finance Bank branches. It launched the Green FD on Sustainability Day.
The Green Fixed Deposit offers a variety of interest payment choices to customers, including monthly, quarterly, and cumulative, to help manage their cash flows effectively.
Following RBI guidelines that mandate using the proceeds in activities that champion energy efficiency, curtail carbon emissions and greenhouse gases, bolster climate resilience and adaptation, and safeguard and enrich natural ecosystems and biodiversity, these funds will be utilised pan-India, with a few focus areas being green projects in rural Bharat.
Sanjay Agarwal, Founder and MD & CEO, AU Small Finance Bank said, “Recognising ‘Environment’ as a key stakeholder, we at AU, have recently enhanced our sustainability initiatives under the guidance of the Sustainability Committee of the Board and the inclusion of senior board members and executives with expertise in sustainability. Now, we are taking an even greater step forward and will be among the first few banks to launch ‘Planet First: AU Green Fixed Deposit,’ fully compliant with the new RBI framework.”
“By choosing Planet First – AU Green Fixed Deposit, one joins a community of pro-green customers, where the deposits so mobilized, shall be channelized exclusively into essential green projects (including solar power, electric mobility solutions) that support climate action.”
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