Stanbic Holdings has poured over Sh15 billion ($122 million) into climate change mitigation and adaptation projects last year. This substantial green investment, part of a larger Sh100 billion sustainability initiative, marks a significant shift in the region’s financial sector priorities.
The banking group’s focus on environmental sustainability comes at a crucial time, as Kenya and South Sudan grapple with the increasing impacts of climate change. Joshua Oigara, Chief Executive of Stanbic Bank Kenya and South Sudan, emphasized the group’s commitment to this cause: “In the next three years, our focus will be on sustainable financing that empowers marginalized groups, accelerates socio-economic development and contributes to climate adaptation and mitigation.”
This green push is complemented by substantial investments in other key areas. The group channeled Sh40 billion into loans for small businesses, potentially catalyzing job creation in both countries. Additionally, Sh635 million was directed towards affordable housing projects, addressing a critical need in the region’s rapidly urbanizing areas.
Priscilla Were, Head of Sustainability at Stanbic Bank, outlined the bank’s forward-looking strategy: “In 2024, we are focused on expanding our green lending portfolio, entrenching financial inclusion, deepening our climate action, and enhancing our ESG alignment across all business units.”
As other banks in the region watch closely, Stanbic’s massive green investment could set a new standard for sustainable banking in East Africa, potentially triggering a domino effect of similar initiatives across the financial sector.
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