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Emirates NBD launches UAE’s first transition finance framework to support lower carbon investment
New framework will guide financing for emissions reduction, cleaner technologies and hard-to-abate sectors as bank targets $30 billion in sustainable and transition finance by 2030
- PUBLISHED: Mon 17 Aug 2026, 11:40 AM
Emirates NBD has launched the UAE’s first dedicated Transition Finance Framework, aimed at helping corporate and institutional clients finance the shift towards lower-carbon business models.
The framework sets out a methodology for identifying and assessing transition finance activities across high emitting and hard to abate sectors including manufacturing, mining, power and energy, real estate, transport and storage, agriculture and information technology.
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It is designed for businesses whose activities may not yet qualify as green but are taking credible steps to reduce emissions and improve energy efficiency.
Clearer route to transition funding
Under the framework, clients will receive clearer guidance on which activities may qualify for transition finance, including investments in emissions reduction, energy efficiency, cleaner technologies and lower-carbon business models.
Emirates NBD said the framework was developed with reference to international guidance including the ICMA Climate Transition Finance Handbook, the ICMA Climate Transition Bond Guidelines 2025 and the Loan Market Association’s Guide to Transition Loan Finance 2025.
The bank has also commissioned DNV Assurance to provide a second-party opinion on the framework.
Vijay Bains, Chief Sustainability Officer and Group Head of ESG at Emirates NBD, said the framework expands the bank’s existing sustainable finance and sustainability-linked financing capabilities and will help support the transition of the real economy across the UAE and wider region.
$30 billion target by 2030
The initiative also supports Emirates NBD’s target to $30 billion in sustainable and transition finance by 2030.
The bank said the framework will help channel capital towards activities linked to decarbonization, industrial transformation and long-term resilience.
Emirates NBD is also supporting the UAE Banking Federation’s ambition to Dh1 trillion in sustainable finance by 2030.
The bank said the new framework strengthens its ability to finance companies moving towards lower-carbon operations while giving clients and investors a more consistent way to assess eligible transition activities.
