First Abu Dhabi Bank's US$135bn to Power UAE to Net Zero
The United Arab Emirates is on the path to reaching net-zero emissions by 2050.
As part of this target is the commitment to decarbonise its economy and reduce greenhouse gas emissions (GHG) by 40% by 2030.
Supporting this is First Abu Dhabi Bank (FAB) Group. As one of the leading banks in the MENA region, FAB’s 2023-2024 Sustainable Finance Report influences the wider goals of the UAE.
The report says: “FAB is committed to the UAE's ambition on climate change and net zero, placing sustainability at the heart of social and economic progress.
“We acknowledge our responsibility as a contributor to the UAE’s positive and sustainable transformation. Driven by our goals and building on our financial expertise, we are working with our clients to find innovative and sustainable solutions to help them accomplish their transition towards a low-carbon economy by 2030.”
This report comes after FAB became the first bank in the GCC region to commit to net zero by 2050 by joining the industry-led and UN-convened Net-zero Banking Alliance in October 2021.
Pioneers in sustainable finance
FAB’s sustainable headline, set in 2021, is a sustainable finance commitment of US$75bn to be achieved by 2030. In 2023, this was raised by 80% to US$135bn with the aim of accelerating the transition to a low-carbon economy and social impact.
Alongside this increase, the report highlights of sustainability activity 2023-24 include:
- 25% of the updated sustainable finance commitment achieved as of December 2023 – Sustainable Finance facilitated since 2022 to-date is AED 126.1 bn (US$34.4 bn)
- AED 10.5bn (US$2.9bn) in green bonds
- AED 1.3bn (US$354m) in Green Sukuk
- 6,038 MW2 Renewable energy capacity added – equivalent to providing energy to 13,418 households per year
- 16.8 mn m3 wastewater treated contributing to 9% of treated wastewater used for irrigation in Abu Dhabi
- 128,137 health claims covered
- 99 affordable housing units financed
- 1.52mn tonnes of expected GHG emissions avoided – equivalent to 330,000 cars removed from the road
- 486 jobs created
- 332 healthcare facilities financed/upgraded
- 46,720 beneficiary transactions recorded to access affordable food
“I am proud to be part of an organisation that is taking concrete actions and showing important progress ourselves but also supporting our clients, employees and stakeholders on their progress,” says Shargiil Bashir, Chief Sustainability Officer at FAB.
“We have made great progress but so much more is needed for the betterment of the planet,” he says.
“Big thanks to all colleagues and stakeholders who supported with actions and documenting our progress.”
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