Emirates NBD has structured and completed a green financing facility for Arabian Gulf Steel Industries (AGSI), reinforcing its leadership in sustainable finance and its commitment to supporting low-carbon industrial transformation.
The financing will support AGSI’s expansion of low-carbon steel production capacity, responding to growing demand from the real estate and construction sectors for environmentally responsible building materials.
The transaction has been classified as ‘green’ under Emirates NBD’s Sustainable Finance Framework, further consolidating the bank’s position as a regional leader in sustainable and transition finance.
The initiative aligns with the UAE’s Net Zero by 2050 strategic objectives and underscores the bank’s role in facilitating capital flows toward low-carbon industrial transformation.
Steel production accounts for approximately 8 percent of global carbon dioxide emissions, making decarbonization within the sector critical to achieving international climate targets.
As the industry transitions toward lower-emission iron and cleaner production technologies, structured green financing is emerging as a key enabler of progress.
Ahmed Al Qassim Group Head, Wholesale Banking Emirates NBD
“By structuring this green facility, we are setting a clear precedent for sustainable industrial finance. AGSI’s verified status as one of the lowest carbon footprint steel producers in the region highlights its leadership in sustainable production. This collaboration reflects a benchmark for sustainable industrial practices aligned with the UAE’s national ambitions in green manufacturing.”
The financing adheres to the Green Loan Principles of the Loan Market Association (LMA), incorporating strict use-of-proceeds requirements, ongoing environmental monitoring, and annual impact reporting.
This framework ensures transparency, accountability, and measurable climate impact while demonstrating how financial institutions and industrial companies can collaborate to drive sustainable value creation.
Asam Hussain, CEO and Founder of AGSI, remarked that, “Continued access to green financing supports our ability to scale low-carbon steel production responsibly, while remaining deliberate in how we invest, operate, and grow. Partnering with Emirates NBD reinforces the importance of aligning industrial priorities with credible financial frameworks.”
Vijay Bains, Chief Sustainability Officer and Group Head of ESG at Emirates NBD, added that, “Each green financing facility is supported by robust reporting and verification requirements, providing stakeholders assurance that financing delivers genuine climate benefits. This reflects how Emirates NBD collaborates across sectors to accelerate the transition to a low-carbon economy.”
