“First Abu Dhabi” reveals the plan to transition to net zero emissions

First Abu Dhabi Bank revealed its transition plan towards net zero emissions, in conjunction with Earth Day 2026, by issuing the 2026 Transformation Pathways Update report, which highlighted the role of sustainable and transformative financing activities in avoiding about 4 million tons of carbon dioxide emissions during the year 2025.

The report reviewed the progress in implementing the sustainability agenda, and what has been achieved in the transition towards a low-carbon economy, which strengthens the bank’s position in supporting global efforts to confront climate change.

The bank continues to align its strategy with national priorities for climate action, by integrating sustainability into its business model and risk management framework, in addition to developing mechanisms for interacting with customers, in a way that supports the comprehensive transformation in the banking sector.

The plan is based on four main axes, including customer interaction and sectoral paths, climate risk management and portfolio direction, reducing operational emissions, in addition to mobilizing sustainable financing.

The report explains the Bank’s methodology for measuring, managing and reducing environmental impacts, in addition to translating its commitments related to net zero emissions into measurable practical measures that enhance its positive environmental impact.

The bank has been able to reduce the emissions intensity of Scope 1 and 2 per employee by 35% since 2019, driven by energy efficiency initiatives and increased reliance on clean electricity, with a plan to reach net zero emissions by 2030.

He also launched a framework for assessing transformation maturity and a mechanism for escalating procedures, which allows more precise interaction with customers with high emissions, amid expectations that the number of customers covered by this framework will double between 2024 and 2025.

The bank confirmed achieving progress in its targeted paths for the year 2030 across eight high-emission sectors, benefiting from the improved level of disclosures and taking early measures in the transformation path.

The Bank reset the baselines for the financed emissions pathways to 2023 instead of 2021, which enhances credibility and alignment with its current portfolio structure and supports emissions reductions in the medium term.

The bank raised 114.4 billion dirhams in sustainable and transformational financing during the year 2025, directed to renewable energy projects, energy efficiency, green buildings, and sustainable transportation, in addition to climate change adaptation initiatives.

The bank has recorded remarkable progress towards its goal of 500 billion dirhams, as it has succeeded since 2022 in providing 381 billion dirhams to finance sustainable and transformative projects, representing 76% of its target for the year 2030.

It also issued innovative financial instruments within 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 the development of water and energy infrastructure.

The bank expanded the scope of including nature risks in its environmental, social and governance assessments, and issued disclosures consistent with international frameworks, which enhances sustainability practices in the banking sector and supports achieving a positive future for nature.

The bank participated as a major banking partner in the 2025 World Conservation Congress, contributing to supporting financing projects related to biodiversity and water, as well as coral reef restoration initiatives in cooperation with local and international bodies.

Sharjeel Bashir, Head of Sustainability at First Abu Dhabi Bank, said that updating the transformation paths for the year 2026 reflects the consolidation of the sustainability approach in the bank’s various businesses, starting from internal operations to capital allocation decisions, stressing the commitment to supporting a low-carbon economy by reducing emissions and developing effective interaction mechanisms with customers.