What is transition finance, and could a steel or cement MSME be ready for it?
Transition finance supports companies in heavy emitting sectors to cut emissions over time, rather than only funding activities that are already green. Readiness means a measured baseline, a credible plan with milestones, and records that show progress.
What lenders may look for
- A baseline from real bills and production.
- A plan: fuel switch, efficiency, electrification, with dates.
- Interim targets they can check.
Why baseline matters
Without a measured starting point, progress cannot be shown, so most frameworks start there.
Caution
Definitions differ between lenders and taxonomies, and none guarantees funding.
What Senseible does here
Senseible turns bills and fuel invoices into a dated, traceable emissions record, the kind of evidence lenders may ask for. Lenders decide, and financing is never guaranteed.
Sources: Loan Market Association, green and sustainability-linked loan principles, International Energy Agency, Reserve Bank of India
Last reviewed 2026-10-22.