Absa Bank Kenya Launches First-Ever 110% Eco-Home Loan in 2024 Sustainability Drive
Absa Bank Kenya Chief Financial Officer Yusuf Omari, UN Global Compact Kenya Executive Director Judy Njino, Absa Bank Kenya CEO Abdi Mohamed, UN Women Kenya Representative Antonia N’gabala and Absa Bank Kenya Chair Charles Muchene during the launch of the 2024 sustainability and climate report where the bank unveiled Kenya’s first Eco-Home Loan, offering up to 110% financing to help customers build homes
Absa Bank Kenya PLC has unveiled its 2024 Sustainability and Climate Report, marking a milestone in the bank’s environmental, social, and governance journey. Among the key highlights is the launch of Kenya’s first Eco-Home Loan, offering up to 110 percent financing for customers to build or upgrade homes with energy-efficient and climate-resilient features.
Themed “Rooted in Purpose, Growing with Impact”, the report details Absa’s efforts to integrate sustainability into everyday business. The Eco-Home Loan supports climate-conscious choices such as installing solar panels, water and energy-saving systems, and using sustainable construction materials aligning homeownership with Kenya’s low-carbon transition goals.
Absa disbursed KES 47 billion in sustainable finance in 2024, targeting MSMEs, women- and youth-led enterprises, and underserved segments. Of this, the digital lending platform Timiza accounted for KES 25.1 billion, demonstrating the role of technology in closing financial access gaps.
Board Chairman Charles Muchene noted that the report reflects Absa’s early adoption of International Sustainability Standards Board (ISSB) guidelines, IFRS S1 and S2, which are set to become the global benchmark for sustainability reporting.
“This shift enhances investor confidence and ensures our disclosures are globally comparable,” he said.
In climate action, the bank achieved a 38% reduction in Scope 2 emissions (from purchased electricity) compared to 2019 levels, aided by retrofitting and smart metering. Absa also recycled 2,745 kilograms of waste with a 94% recovery rate, avoiding nearly 7 tonnes of CO₂-equivalent emissions, and has planted over 1.5 million trees to date.
Absa Bank Kenya Chief Financial Officer Yusuf Omari, Board Chair Charles Muchene, CEO Abdi Mohamed, Kenya Green Building Society CEO Nasra Nanda and Absa Bank Kenya Consumer Banking Director Moses Muthui during the launch of the 2024 sustainability and climate report where the bank unveiled Kenya’s first Eco-Home Loan, offering up to 110% financing to help customers build or upgrade homes with energy-efficient and climate-resilient features.
CEO Abdi Mohamed emphasised sustainability as a core business driver: “From inclusive lending and supply chain empowerment to financing solutions like the Eco-Home Loan, we are actively supporting Kenya’s transition to a low-carbon economy.”
Through the Absa Kenya Foundation, the bank invested KES 107 million in community programmes, including financial literacy and youth training initiatives. Over 11,000 young people benefited from the ReadytoWork platform, while 635 employees participated in community projects worth KES 41 million.
Internally, Absa maintained a 51:49 female-to-male staff ratio and retained its Top Employer status. Governance practices were strengthened with Board oversight of climate risks, adoption of a Greenwashing Policy, and alignment with the Central Bank of Kenya’s Climate Risk Guidelines and Kenya’s Green Finance Taxonomy.
Abdi concluded, “As a purpose-led business, we aim to accelerate sustainable action towards 2030 and beyond.
The report is available here https://shorturl.at/LM9Oy
