ADIB Publishes First Net Zero Report, Establishing Benchmark
ADIB's ambition is a low-carbon future in line with the UAE's climate goals.
Setting a benchmark in sustainable banking for others to follow.
Abu Dhabi Islamic Bank (ADIB), a leading bank in the UAE, has become the first commercial Islamic bank in the region to release a comprehensive Net Zero report.
This allows the bank to set specific targets in the sectors it finances to reach Net Zero by 2030. To this end, it will cut its direct emissions and emissions related to financing activities.
ADIB is to reduce its operational emissions by 49% by 2030, compared to 2022 levels. It has also identified six major sources of emissions: home finance, auto finance, real estate, air transport, utilities, and petroleum manufacturing, which account for 40% of the emissions tied to the bank's financing.
Mohamed Abdelbary, ADIB's Group Chief Executive Officer, said: “We recognise the urgent need for the financial industry to play a pivotal role in tackling climate change and we are fully committed to leading the way in sustainable Islamic banking and supporting the UAE's national goals for a sustainable future.
"Our first Net Zero report demonstrates ADIB's proactive efforts to assess and reduce emissions, underscoring our commitment to transparency, accountability, and ongoing progress. This report not only highlights the bank's readiness to tackle future environmental challenges but also reaffirms our dedication to playing a key role in the UAE's transition to a low-carbon economy.
“While we acknowledge that the journey to Net Zero will be an evolving process, we are engaging with our customers and partners in their transition plans to address the need for decarbonisation by tackling financial barriers to the transition, including mobilising more green and transition finance."
The report also includes details regarding how the bank calculates and tracks emissions, using standards like the Partnership for Carbon Accounting Financials (PCAF) and the Greenhouse Gas (GHG) Protocol.
To learn more about the report, click here.
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Source: ADIB
