transformation shows Islamic banking and

ESG compatibility

In a progressive move to embrace the principles of Environmental, Social, and Governance (ESG), ADIB has embarked on a comprehensive journey towards sustainability, firmly positioning itself as a leading Islamic bank committed to positive ESG performance.

ADIB’s commitment to a sustainable future underscores its vision to align business activities with broader societal and environmental goals. Embracing sustainability as a core value, it strives to drive positive impact beyond financial returns. The bank envisions playing a crucial role in advancing the UAE’s sustainability agenda, leaving a legacy of responsible banking and stewardship.

A people-centric organisational culture and dedication to governance excellence further exemplify ADIB’s pursuit of an inclusive, empowered, and diverse workforce to propel sustainable progress.

Recognising the significance of ESG in the financial world, ADIB has taken strides in enhancing its ESG-related disclosures. ADIB’s annual ESG report, which has been published since 2017, is a testament to the bank’s dedication to keeping stakeholders informed about its sustainable practices. Realising that public disclosures alone are not enough; additional initiatives were taken to develop new policies that reflect commitment to ESG principles. These policies serve to inform the market and customers about the bank’s dedication to sustainability across its operations. The bank’s approach to sustainability is all-encompassing, touching upon various critical aspects, in- cluding frameworks, integration of sustainability into business lines, strategy development, and governance enhancement.

At the core of ADIB’s sustainability commitment lies its threeyear ESG strategy. The strategy intricately outlines the roles of all business lines in contributing to a positive ESG impact and aligns seamlessly with the UAE’s national goals and the United Nations Sustainable Development Goals (SDG). By integrating internationally recognised goals and standards such as the UN SDGs and the Global Reporting Initiative (GRI) into existing management systems, the bank allows for the enhancement of both Sharia-compliant banking and ESG performance.

The three-year ESG strategy rests on six pillars shaping its sustainable future. These pillars include maximising positive impact, ensuring strong economic contributions, fostering lifelong partnerships with communities and customers, striving for governance excellence, and maintaining a people-centric organisational culture. These pillars are guided by material topics crucial to ADIB and its stakeholders, including investors and clients.

To embed ESG principles further, the bank is striving to integrate ESG considerations into its credit process. A rigorous internal due diligence will ensure that all relevant transactions adhere to internationally recognised standards, such as the Equator Principles.