AirTrunk has secured a S$2.25 billion (US$1.67 billion) green loan in Singapore to fund a new hyperscale data center, AirTrunk SGP2.

AirTrunk is a data center operator focused on Asia-Pacific and Japan.

The loan is the largest of its kind for a data center in Singapore to date.

Crédit Agricole CIB, DBS Bank, and ING Bank acted as global coordinators and sustainability structuring agents for the deal, joined by a consortium of 23 other financial institutions.

The financing starts as a green loan and includes an option to convert into a sustainability-linked loan.

The new data center will be located in Loyang, Singapore, and is planned to provide over 70MW of cloud and AI computing capacity for Singapore and Southeast Asia.

The facility is designed to achieve a BCA GreenMark Platinum rating and a power usage effectiveness (PUE) of 1.20, using green concrete and steel to lower embodied carbon.

🔗 Source: AirTrunk

🧠 Food for thought

1️⃣ Green financing becomes essential infrastructure funding as data center markets explode

AirTrunk’s record-breaking loan reflects how sustainable financing has moved from niche to necessity in the data center industry.

The global green data center market is projected to grow from $70.58 billion in 2023 to $307.52 billion by 2032, representing an 18% annual growth rate that far exceeds most technology sectors 1.

This growth coincides with sustainable debt issuance reaching $1.1 trillion globally in 2023, showing how environmental considerations now drive major infrastructure investments 2.

The timing is critical as data center financing in the US alone reached $30 billion in 2024 and is projected to double to $60 billion in 2025, indicating massive capital requirements across the industry 3.

AirTrunk’s ability to secure Singapore’s largest-ever data center loan at $2.25 billion demonstrates how projects with strong environmental credentials can access capital at unprecedented scales.

The loan’s innovative structure, beginning as a green loan with an option to convert to a sustainability-linked loan, reflects how lenders are creating new financial instruments to meet both environmental goals and operational flexibility needs.