Commercial banks in Kenya could help unlock thousands of sustainable jobs through innovative financing solutions targeting key green sectors of the economy.
Environment Principal Secretary Dr Festus Ng’eno has said banks are best placed to accelerate transition to a green and resilient economy by availing climate finance to support restoration, renewable energy, sustainable agriculture, circular economy enterprises, and carbon market development and create job opportunities for young people.
“I therefore encourage ABSA and other corporate leaders to accelerate your commitments and expand the scale of their restoration efforts. Every tree grown contributes to water security, biodiversity conservation, carbon sequestration, job creation, and community resilience,” said Ng’eno.
Speaking during the launch of ABSA Bank Sustainability and Climate Report 2025, Dr Ng’eno said private sector have been crucial partners in the national goal of growing 15 billion trees by 2032 as the country targets to achieve 30pc national tree cover.
He called on banking sector to deepen their investments in agroforestry, commercial forestry, bamboo production, ecosystem restoration, and other nature-based solutions that generate both environmental
and economic returns.
According to ABSA Bank, in four years to 2025, its total commitment to sustainable finance has hit Ksh 204 billion out of which Ksh 53.3 billion was disbursed last year alone. This was an increase from Ksh 47 billion reported in 2024.
“During the year, we delivered Ksh 6.5 billion in climate finance, supporting investments in climate-smart agriculture, renewable energy, clean technologies, energy efficiency, and green buildings,” Mohammed Nyaoga, Chairman ABSA Bank.
The bank said its climate finance reached 30pc of its total loan portfolio last year, far above the 10pc target with disbursements to support renewable energy, energy efficiency, green building and climate smart agriculture financing.
The report further shows that the bank spent Ksh 10 billion to youth enterprises, Ksh 7.9 billion to small businesses and Ksh 1.8 billion for women-owned enterprises.
“From supporting businesses to grow and enabling access to affordable housing, to financing climate-smart agriculture, renewable energy and broader financial inclusion, we have intentionally deployed capital where it can make the greatest difference. We remain committed to partnering with our customers and stakeholders to build a more inclusive, resilient and sustainable future for Kenya.,” added Yusuf Omari, ABSA Bank Interim Chief Executive Officer.
The report shows that the bank had 2,217 employees with a 52:48 ratio of women to men. Women also make up 40pc of the bank’s board and 50pc of management.
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