United Arab Emirates, one of the largest banks, First Abu Dhabi Bank (FAB) confirmed its partnership with low-carbon energy and services provider ENGIE Solutions by signing a memorandum of understanding (MoU), on Tuesday.
This partnership is aimed at advancing the companies’ capabilities in financial decarbonisation solutions. The bank stated the agreement was signed in COP28 climate conference in UAE and it highlighted the objectives for the companies to collaborate on related to energy transition and decarbonisation.
The UAE-based bank also said the MoU builds on capabilities of FAB Carbon Desk, which provides carbon trading and financing options, facilitates strategic carbon-related transactions, and promotes the development of high-quality carbon credits and offsets for corporate and investment banking clients.
FAB added the partnership paves way for exploring new types of deals in the future. Varun Gujral, chief executive, Global Energy Management and Sales (GEMS) APAC at ENGIE said, the MoU marks a significant milestone as ENGIE GEMS and FAB join forces to strengthen the company’s capabilities in driving energy transition across Middle East and beyond.
“Market-led solutions, such as trading in high-quality carbon credits, will play an essential role in the UAE, regional and global net-zero transition, providing industries with practical tools for achieving decarbonisation targets,” he also said.
The bank also said it will lend, invest and facilitate over 500 billion United Arab Emirates dirham ($136 billion) in sustainable and transition financing (green finance) by 2030 on Tuesday. FAB said it is expanding its target to include transition financing and early stage innovation.
Finance company First Abu Dhabi Bank, headquartered in Abu Dhabi provides expertise and financial strength to support local, regional and international businesses through its products and services.
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