Standard Bank, a leading African financial institution, has intensified its commitment to the continent’s Energy Transition by setting an ambitious target to mobilize over R450 billion in sustainable finance by 2028. This updated goal builds on the bank’s 2022 pledge of R250 billion by 2026, with R177 billion already financed, including R50.6 billion in 2023 and R74.3 billion in 2024. The strategy, aligned with an updated climate policy, prioritizes decarbonization while ensuring affordable energy access across Africa.
The bank’s approach balances environmental and socio-economic goals, such as energy security and job creation, following the Paris Agreement’s principle of “common but differentiated responsibilities”. Standard Bank aims for net-zero financed emissions by 2050, guiding clients toward decarbonization and advocating for supportive policies. While prioritizing renewable energy, Standard Bank continues to finance oil and gas projects with stringent environmental controls. The bank limits upstream exposure to under 30% of its energy portfolio and 3% of total loans, targeting a 10% reduction in portfolio intensity by 2030.
Boitumelo Sethlatswe, Head of Sustainability at Standard Bank, emphasizes, “Africa is our home, we drive her growth.” This commitment positions Standard Bank as a key player in fostering a low-carbon future while addressing energy security and economic growth. By integrating sustainable finance across its operations and identifying new eligible assets, the bank is well-positioned to lead Africa’s green energy transformation. This strategic move reinforces the institution’s role in driving sustainable economic progress across the continent.
