- The UAE Banks Federation (UBF) has committed to mobilize $270 billion in sustainable finance by 2030.
- His Excellency Abdulaziz Al-Ghurair, Chairman of the UAE Banks Federation, announced the pledge at an event jointly organized by the Central Bank of the UAE and the COP28 Presidency, aiming to support and facilitate global climate finance solutions and progress towards a sustainable future.
- UBF has been working closely with its partners on sustainability efforts to accelerate and advance sustainable development goals.
The UAE Banks Federation (UBF), the sole representative and unified voice of banks in the UAE, has committed to mobilize $270 billion in sustainable finance by the year 2030. His Excellency Abdulaziz Al-Ghurair, Chairman of UBF, announced the pledge at an event jointly organized by the Central Bank of the UAE and the COP28 Presidency, aimed at supporting and facilitating global climate finance solutions and progress towards a sustainable future.
“The pledge made today by our UBF Chairman, Abdulaziz Al-Ghurair, to mobilize over AED1 trillion ($270 billion) in sustainable finance represents the collective efforts of our leading national member banks and is a true testament to our financial sector’s commitment to and support of building a better future,” said Jamal Saleh, Director General of UAE Banks Federation.
Financing part of UAE Banks Federation sustainability plans
As the active representative of UAE banks, the federation has been closely collaborating with its partners on sustainability efforts to accelerate and advance sustainable development goals. Saleh added, “Six of our UBF member banks have already taken significant strides in this regard, with over AED190 billion (US$52 billion) already targeted towards green projects, renewable energy, waste-to-energy, and green technologies.”
Furthermore, the union is actively working on strengthening the principles and frameworks of green finance under the direct supervision of the Central Bank of the UAE. The Central Bank has adopted sustainability principles in the banking and financial sector, setting a model for applying these frameworks in operations.
The Director General added that the lobby has played the central role in this initiative with its high-level ESG committee, comprising specialist experts from UBF member banks. This committee works diligently to reinforce the principles and frameworks of green finance, aligning them with the UAE’s commitment to sustainability in the banking and financial sector.
“The UAE has adopted sustainability standards and principles in the banking and financial sector, with Abu Dhabi and Dubai’s Declarations for Sustainable Finance in 2016 and 2019, as well as the Guiding Principles for Sustainable Finance to promote the development of a green financial market in 2020, and the National Framework for Sustainable Finance in 2021.”
Role of digitalization in driving global climate action
“We are confident that our UAE banking sector can make significant contributions to the UAE’s National Climate Change Plan. UBF’s significance lies not only in its commitment to supporting sustainability but also in its role as the platform for cooperation among all its UBF member banks. The Federation seeks to accelerate progress in this domain by fostering a business environment that encourages competitive, active, and sustainable finance,” he said.
He added, “Under the direct supervision of the Central Bank of the UAE, our banking sector continues to consolidate its position as a regional and global leader, placing great responsibility on us to maintain such a position and to build on such a solid base to achieve higher goals and targets.”
The federation Director-General affirmed, “In addition to financial commitments, UBF recognizes the pivotal role of digitalization and advanced technologies in driving global climate action. UBF, through its involvement in several initiatives, including this COP28 UAE Banks Pledge, actively promotes innovative technology solutions in sustainable finance to achieve sustainable development goals.”