What is the product?

Tierra is a new MGA established to provide credit insurance to banks who are providing green project financing loans to their clients. The insurance protects against default under the project loan and allows banks to reduce their risk and capital charges related to green projects and therefore increase their lending volumes.

The product is offered globally, to those banks actively providing funding to projects in the key sectors required for the energy transition (e.g. renewables generation, energy storage, energy efficiency, transmission, etc).

How does it support green outcomes?

In the next decade, as the global economy increasingly shifts towards a decarbonised future, multi-billion investments will be required to support this energy transition. Banks will provide a large share of this funding, yet they have finite balance sheets.

By supporting Tierra, Ascot can help banks fund an increasing number of green projects by allowing their balance sheets to go further. Combining a wide remit and flexible approach, and exclusively supporting projects with carbon abatement at their core, Tierra can support the transition required to a low-carbon future.

How does it enable customers today?

Tierra is actively supporting banks financing projects in the wind and solar sectors in emerging markets and in large scale European deals where capital requirements are significant. This is allowing banks to move forward with confidence and at competitive terms to fund new green projects.