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Should banks charge more for lending to dirtier ships?

Owners of older tonnage face an ever growing challenge of securing safe financing and remaining competitive in today's trend of designating ships as ‘green’ or ‘dirty’.

Excluding the tanker sector, the rest of the shipping industry widely saw green numbers last year, setting the stage for easier access to capital. However, banks have, for quite some time, been part of a chorus of global financiers that puts protecting the environment at the forefront when considering shipping loans. With private equity largely looking to exit shipping after several years of consolidation, institutional investors are looking beyond balance sheets to guarantees from shipowners t...

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