KCB screens green loans worth KShs. 615bn in 2023

Kampala, Uganda | THE INDEPENDENT | KCB Group screened loans worth KShs. 615 billion for environmental and social risks in 2023 as the Bank races to support projects with positive environmental impacts. This constitutes half of the Group’s loan book as of last year’s end, cementing KCB commitment to sustainable finance.

Additionally, KCB approved green loans worth KShs. 21.4 billion representing 15.5% of the total loan portfolio in 2023 and highlights its commitment to community-focused initiatives to create sustainable value for all its stakeholders. The green loans disbursed were directed toward projects in e-mobility, climate change adaptation and mitigation, energy efficiency, and renewable energy.

The details are contained in the 2023 KCB Group Environmental, Social & Governance (ESG) and Sustainability Report launched on Tuesday, highlighting the Group’s progress towards its sustainability commitment. KCB has become the first financial institution in Africa to assure its report through external auditors, ushering in a new era of transparency and ESG disclosures.

KCB Group CEO Paul Russo said: “We are increasing focus on sustainability and environmental responsibility. We are proud to announce the release of the first assured report, setting a new standard in ESG reporting in Africa. This report confirms that our key performance indicators and metrics accurately reflect the bank’s performance, enhancing transparency and accountability. This is borne from a belief that by aligning business practices with sustainability principles, financial institutions can drive long-term value creation, enhance their reputation, and mitigate risks associated with environmental and social challenges.”