KBANK Solidifies Leadership in Carbon Credit Market Innovation with First-of-its-Kind Carbon Credit Forward Transaction in Thailand, Referencing Verra-Certified International Standard.

Mitihoon – KASIKORNBANK (KBank) completes Thailand’s first-ever “Carbon Credit Forward” transaction, referencing Verra-Certified international standard. This move solidifies its leadership in developing the carbon credit ecosystem. The transaction serves as a crucial tool for managing price volatility and offers a structured approach to fulfilling climate commitments. his initiative is expected to enhance market transparence and facilitate the robust expansion of Thailand’s carbon credit market for the benefit of businesses and the environment.

Dr. Karin Boonlertvanich, KBank Executive Vice President, affirms KBank’s commitment to becoming a leader in sustainability among regional financial institutions. Key milestones include achieving Net Zero greenhouse gas emissions from the Bank’s own operations by 2030 and advancing solutions that go beyond financial services to help catalyze Thailand’s transition to a low-carbon economy. Over the years, KBank has consistently supported climate action through innovative capital market products designed to facilitate greenhouse gas reduction. In a major step forward, the Bank has successfully executed Thailand’s first Carbon Credit Forward transaction — a pioneering financial innovation based on forward contracts referencing Verified Carbon Standard (VCS) carbon credits certified by Verra*.

Recently, KBank has successfully executed Thailand’s first Carbon Credit Forward transaction, referencing an international standard certified by Verra – a leading non-profit organization that sets standards, certifies greenhouse gas reduction projects, and plays a key role in the world’s largest voluntary carbon market. This landmark transaction introduces a critical market instrument that provides forward price visibility and enhances strategic planning across the carbon credit value chain. For KBank as the buyer, it enables precise forward pricing and volume projections, mitigating exposure to market volatility and facilitating more efficient allocation of capital towards meeting climate action obligations.  For project developers, it strengthens price signals, bolsters bankability, broadens access to capital markets, and supports scalable project deployment. Collectively, these impacts foster a more liquid, transparent, and resilient carbon credit market ecosystem in Thailand, aligned with international best practices.

“We are ready to build upon this and lead the transition towards Net Zero goals by offering carbon credit price risk protection,” Dr. Karin stated. “The knowledge gained from this, which covers end-to-end from accessing internationally certified carbon credit markets to managing and administering related accounting and taxes, will be used to further develop the services of our group companies, such as offering comprehensive climate-related advisory services.”

KBank’s move is expected to boost transparency, strengthen market confidence, and lay the groundwork for a thriving carbon credit ecosystem in Thailand — one that benefits businesses, investors, and the environment.