DUBAI: Jamal Saleh, Director-General of the UAE Banks Federation, said that the total amount of green and sustainable finance in the country will grow significantly by the end of this year, with increased demand for financing large and innovative projects in the sustainability sector across the UAE and the region.
In a statement to the Emirates News Agency (WAM), Saleh noted that the financing provided by UAE banks is not limited to local projects, but also includes sustainable projects in other countries.
He explained that last year, green financing provided by 6 UAE banks exceeded AED 190 billion, allocated to fund a variety of projects in renewable energy, waste-to-energy, and green technology.
Saleh explained that the strong growth in sustainable financing is the product of initiatives and directives from the Central Bank of the UAE (CBUAE) to promote green and sustainable financing, with sustainability set as one of its strategic priorities. It has also launched a number of initiatives that define the
frameworks to ensure compliance with environmental, social, and governance (ESG) standards, he continued.
He explained that under CBUAE’s directives and general policies, the UAE Banks Federation is working to support the banking and financial sector in its drive to develop sustainable banking solutions in line with the UAE’s strategy to reduce emissions and achieve net zero by 2050, and the UN Sustainable Development Goals.
Source: Emirates News Agency