In an era where economic resilience and environmental stewardship are becoming inseparable, Absa Bank Kenya has positioned sustainability as a core strategic driver.
Guided by the theme Rooted in purpose, growing with impact, the bank’s performance demonstrates a blueprint for leading a transition toward a low-carbon, inclusive economy. This is evidenced by the 2024 Sustainability and Climate Report.
Sustainability at Absa is integrated into the operational framework, from risk management and product design to client engagement. This approach focuses on enabling a just transition that aligns responsible growth with national development priorities.
In 2024, the bank reached significant milestones in capital deployment and environmental action:
Absa disbursed Ksh. 47 billion in sustainable finance during the year, channeling capital toward historically underserved segments and green initiatives:
- Digital Inclusion: Ksh. 25.1 billion was provided through the Timiza platform to bridge financing gaps for the unbanked.
- MSME Growth: Ksh. 9.6 billion in lending was directed to small and medium enterprises.
- Targeted Support: The bank provided Ksh. 5.8 billion to youth-led enterprises (ages 18–35) and Ksh. 1.1 billion to women-led businesses.
- Low-Income Support: Ksh. 1.4 billion was disbursed to support low-income households.
The bank is tracking toward a target of operational net-zero by 2040. Key performance markers for 2024 include:
- Emissions Reduction: A 38% decrease in Scope 2 emissions compared to the 2019 baseline.
- Operational Efficiency: Energy consumption was reduced to 4.06GW, down from 6.5GW in 2019.
- Circular Economy: 2,745 kg of waste was diverted from landfills with a 94% recycling rate, avoiding nearly seven tonnes of CO₂-equivalent emissions.
- Nature-Based Solutions: 72,000 trees were planted during the year, bringing the cumulative total to 1.5 million toward a goal of 10 million by 2032.
Absa focuses on delivering commercial value while addressing social and environmental challenges. A notable proof point is the launch of Kenya’s first Green Home Loan, an Eco-Home facility offering up to 110% financing for energy-efficient housing upgrades.
Other key pillars of this innovation include:
- Youth Development: The ReadytoWork program has now trained 263,410 young people in employability and digital skills.
- Women in Tech: Direct engagement through initiatives like the GirlCode hackathon to empower women in AI, Cybersecurity, and Fintech.
- Sustainable Infrastructure: Directing Ksh. 4 billion specifically toward climate-related projects, including renewable energy and green buildings.
Sustainability performance is managed through a top-down governance structure, with 5% of the executive performance scorecard tied to ESG metrics. The bank is an early adopter of the International Sustainability Standards Board (ISSB) IFRS S1 and S2 standards, positioning it ahead of the 2027 mandatory disclosure timeline.
This commitment has resulted in several 2025 recognitions:
- Best Low-Carbon Transition Strategy – Kenya (Global Banking & Finance Awards)
- Best Bank in Green Financing – Kenya (Kenya Green Building Society)
- FiRe Awards for excellence in reporting standards.
In an era where economic resilience and environmental stewardship are becoming inseparable, Absa Bank has positioned sustainability not as a peripheral feel-good initiative, but as a core strategic driver.