Abu Dhabi, UAE – On Earth Day 2026, First Abu Dhabi Bank released its 2026 Transformation Pathways Update Report. Which highlighted the contribution of the Bank’s sustainable finance and transformation finance activities. Avoiding about 4 million tons of carbon dioxide emissions in 2025.
The report reviewed the ongoing progress in implementing the sustainability agenda and what has been achieved in the transition to net-zero emissions. This strengthens the bank’s position in driving the global transition towards a low-carbon economy.
The Bank continues to align its strategy with national climate action priorities by integrating sustainability into the core of its business model, risk management framework, and customer engagement approach.
main themes
This plan is based on four main axes: customer interaction, sector pathways, climate risk management and portfolio guidance. Reducing operational emissions, in addition to mobilizing sustainable financing.
The report reviews First Abu Dhabi Bank’s approach to measuring, managing and reducing climate and environmental impacts in its operations and financing portfolio. It also explains how the Bank translates its commitments to achieving net zero emissions and a positive environmental impact into practical, measurable actions.
The bank has reduced emissions intensity for ranges 1 and 2 per employee by 35% since 2019, driven by energy efficiency initiatives. Increase the use of clean electricity and integrate clean energy certificates into key locations. A formal action plan has also been developed to reach net zero emissions to achieve operational emission reduction targets by 2030.
Assessing transformation maturity
The bank launched a dedicated framework to assess the maturity of the transformation and a mechanism for escalating procedures. Enabling more precise, risk-based interaction with customers with high emissions. The number of customers covered by this framework is expected to double between 2024 and 2025.
The bank confirmed continued progress according to its target paths for 2030 in eight sectors with high emissions. Supported by improved customer disclosures and early action on the transition.
The Bank has reset the baselines for financed emissions pathways to 2023 instead of 2021, enhancing credibility and alignment with the current portfolio, and supporting the emissions reduction pathway in the medium term.
sustainable finance
First Abu Dhabi Bank raised AED 114.4 billion in sustainable and transformational finance in 2025. Oriented towards climate change mitigation solutions such as renewable energy projects, energy efficiency, green buildings, and sustainable transportation. In addition to climate change adaptation initiatives.
It showed significant progress towards First Abu Dhabi Bank’s target of AED 500 billion for sustainable and transformational financing. Since 2022, it has facilitated the financing of sustainable and transformative projects worth AED 381 billion. Equivalent to 76% of his 2030 goal.
Leading financial instruments
The bank issued pioneering financial instruments classified under the “transformation” category, including the first global low-carbon energy bond, and the first blue bond issued by a financial institution in the Gulf Cooperation Council countries to support transformation efforts in the energy sector and develop water and sanitation infrastructure.
It also issued the first regional disclosure consistent with the nature-related financial disclosure framework, and issued blue bonds in accordance with the principles of the International Capital Market Association. He expanded the inclusion of nature risks in his assessments of environmental and social practices, institutional governance, and sectoral policies. Which enhances sustainability practices in the banking sector and supports achieving a positive future for nature.
The bank participated as a major and official banking partner in the 2025 International Conference on Nature Conservation (IUCN). Contributing to advancing dialogue on project financing in the fields of nature, biodiversity and water, and examining the interconnectedness between climate and nature. This is done in cooperation with government agencies, investors and customers. There are also efforts to restore coral reefs through partnerships with Arshirev and the Environment Agency – Abu Dhabi. By spreading 400 coral tiles and planting 800 coral pieces, which contributes to supporting the recovery of marine ecosystems.
