Home UAE Abu Dhabi Etihad Rail unveils sustainable finance framework in green push The sustainable finance framework was developed in collaboration with First Abu Dhabi Bank and Standard Chartered Bank by Kudakwashe Muzoriwa August 14, 2024 Image credit: Etihad Rail/ X UAE’s Etihad Rail plans to finance green investments in the transport and infrastructure sector under a new sustainable finance framework published on Wednesday. The framework aims to help the rail developer align its future financing with its environmental, social, and governance (ESG) strategy. The initiative provides expertise and insights to ensure its alignment with the green loan and bond principles. “Through responsible financial practices, we are underscoring our dedication to integrating and upholding sustainable practices by driving positive environmental and social impact across the transportation, logistics and infrastructure sectors,” said Ali Tabbal, chief financial officer at Etihad Rail. “This framework provides a clear roadmap for integrating ESG considerations into investment decisions, empowering companies to generate long-term sustainable value.” As part of our continuing pursuit to shift towards a sustainable, low-carbon economy and contribute to the UAE’s Net Zero 2050 Strategy, we launched our Sustainable Finance Framework, a comprehensive guide to link the company’s future financings to its ESG strategy to deliver… pic.twitter.com/XKKkGYuTYr — Etihad Rail (@Etihad_Rail) August 14, 2024 Etihad Rail said its sustainable finance framework was developed in collaboration with First Abu Dhabi Bank and Standard Chartered Bank and validated through a second-party opinion from leading international certifier Det Norske Veritas. The framework covers four key components: green loan and bond principles that adhere to international standards, allocation of proceeds to sustainable projects, rigorous project evaluation and selection, and reporting to ensure transparency and accountability. Etihad Rail said the initiative guides investment decisions and promotes collaboration and knowledge-sharing among industry peers, regulators, and investors. Established in 2009, the Abu Dhabi-based rail firm will provide freight and passenger services once operational. The company’s 1,200 km-long network extends from the border of Saudi Arabia to Oman, and eventually, the UAE plans to link it up with a scheduled network across the six-member GCC countries. Read: Etihad Rail signs waste management deal with BEEAH Group Tags Etihad Rail green bonds Logistics Sustainable Finance You might also like Maqta Gateway, Presight to bolster trade, logistics with AI Dubai Maritime City upgrades double ship handling capacity Menzies Aviation expands presence in Africa with new cargo facility AD Ports Group refinances $2.25bn debt, cuts borrowing costs