Hang Seng Bank has arranged a HK$20 million ( US$2.55 million ) equipment loan for Wing Lee Development Construction Holdings, marking Hong Kong's first green loan dedicated to noise mitigation.

The move is aimed at promoting the green transition and sustainable development of the city’s construction industry.

The loan will enable Wing Lee to acquire electric construction equipment that meets the Environmental Protection Department's quality powered mechanical equipment ( QPME ) or green equipment standards.

These standards emphasize exceptional quietness, efficiency, innovation, and environmental friendliness. The new equipment, including electric excavators, semi-trailer tractors, and wheel loaders, will replace traditional construction machinery to minimize noise at construction sites and reduce pollutant emissions.

To further support green financing, the Hong Kong Quality Assurance Agency has expanded the scope of Hang Seng’s exclusive online SME green equipment financing assessment platform for commercial customers.

The updated platform now includes QPME standards for noise mitigation, ensuring loans meet the requirements of the Green Loan Principles. The loan to Wing Lee has been assessed and approved under these updated criteria.

“By directly enhancing the living environment for residents, this initiative demonstrates how green finance can deliver meaningful benefits to both businesses and the wider community,” says Regina Lee, head of commercial banking at Hang Seng Bank.

Last year, Hang Seng launched the HK$80 billion Sustainability Power Up Fund, providing businesses across sectors with diversified green and sustainable financing solutions.

Moreover, through initiatives like the Hang Seng Carbon Academy, the bank seeks to enhance enterprises’ awareness of sustainable development. In the first half of this year, the bank hosted a series of industry experience-sharing sessions and capacity-building workshops on green transition, which garnered strong industry support and participation from over 100 enterprises.