QIIB has launched its inaugural Sustainable Finance Framework on the 10th January 2024. The framework seeks to channel financing toward projects positively impacting ESG considerations.
“This framework underscores our dedication to aligning our operations with global sustainability goals while contributing to Qatar’s economic development, which is considered a significant stride towards fostering a sustainable future in line with Qatar Vision 2030,” Hossam Khattab, CFO at QIIB, commented. Hossam is also a member of QIIB’s Sustainable Finance Working Group.
According to Sustainable Fitch, which gave the second-party opinion for the framework, the overarching goal of the investment made under the framework is to bolster environmental sustainability while enhancing the quality of life and infrastructure for local communities.
The framework is founded on the four central pillars of environmental development, social development, human development and economic development.
Based on the framework’s use of proceeds, it will contribute to the development of green and social category projects. Such projects include the development of clean and renewable energy sources, the transition to sustainable transportation systems and the promotion of energy efficiency.
The framework will also support sustainable water and wastewater management, job creation to counter socioeconomic issues, access to essential services for underserved populations and the development of affordable basic infrastructure under its social category projects.
The bank will use the framework as a basis to issue green, social or sustainability Sukuk and loans to fund eligible sustainable projects, which will conform to both International Capital Market Association (ICMA) and Loan Market Association (LMA) standards and guidelines.
The sustainability rating arm of Fitch Ratings rated the framework’s alignment to the relevant ICMA and LMA standards as ‘good’.