Absa Bank Kenya Advances KES 204 Billion in Sustainable Finance in Four Years
Absa Bank Kenya has advanced more than KES 204 billion (approx. USD 1.58 billion) in sustainable finance over the past three years, the lender revealed as it launched its 2025 Sustainability and Climate Report at Strathmore University.
In 2025 alone, the Bank disbursed KES 55.3 billion (approx. USD 428.7 million) in sustainable finance, up from KES 47 billion (approx. USD 364.3 million) the previous year. Of this, KES 48.8 billion (approx. USD 378.3 million) went towards financial inclusion financing supporting SMEs, women-led businesses, young entrepreneurs and underserved communities, while KES 6.5 billion (approx. USD 50.4 million) was directed towards climate finance covering renewable energy, green buildings, energy efficiency and climate-smart agriculture.
The report shows Absa’s eligible sustainable finance allocation reached 30% of gross loan disbursements, more than triple its year-on-year target of 10% by 2025.
Speaking at the unveiling, Absa Bank Kenya Interim Managing Director and Chief Executive Officer Yusuf Omari said the report reflected the Bank’s commitment to creating shared value for customers, communities and the broader economy.
“Our 2025 Sustainability and Climate Report highlights what we have achieved under our 2021–2025 sustainability strategy, which was anchored on 13 commitments aimed at delivering meaningful economic, social and environmental impact,” Omari said. “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.”
Environmental and social impact
Beyond financing, Absa deepened its own environmental stewardship in 2025, planting 283,969 trees, nearly four times the 72,000 planted in 2024, and pushing its cumulative total past 1.5 million trees. The Bank also achieved a 96.4% waste recycling rate and cut its operational energy footprint by 41%, in line with its net-zero ambitions.
On the social front, the Bank’s ReadytoWork programme equipped nearly 38,000 young people with employability and entrepreneurial skills during the year, bringing total beneficiaries to over 300,000 to date. The Absa Kenya Foundation, meanwhile, expanded its reach across education and skills development, entrepreneurship, and natural resource management, impacting more than 50,000 individuals.
Dr Festus Ng’eno, Principal Secretary at the State Department for Environment and Climate Change, commended the Bank’s leadership in advancing private-sector climate action.
“Climate change is already affecting livelihoods, infrastructure, ecosystems and economic productivity. The cost of inaction continues to rise, making climate investment not only an environmental necessity but also a sound economic decision,” Ng’eno said, urging financial institutions and development partners to expand support for climate solutions and sustainable infrastructure.
Absa also reported enhanced disclosures aligned with the International Sustainability Standards Board (ISSB) framework, including IFRS S1 and IFRS S2, as it embeds climate considerations into lending decisions and enterprise risk management.
Having concluded its 2021–2025 strategy, the Bank unveiled a new sustainability roadmap built on four pillars: accelerating sustainable finance growth to sustain the 30% gross loan disbursement threshold; achieving net-zero emissions by 2050 through a decarbonisation agenda; strengthening sustainability risk management and governance; and embedding sustainability into the Bank’s culture and client experience.
“As Kenya accelerates its transition towards a greener and more inclusive economy, Absa will continue partnering with government, businesses, development partners and communities to finance solutions that create lasting value and contribute meaningfully to the country’s long-term development priorities,” Omari said.
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