BRAC Bank becomes first local lender to disclose GHG emissions

BRAC Bank has become the first lender in Bangladesh to disclose the greenhouse gas (GHG) emitted by the businesses it finances.

In its recent Sustainability Report, the private commercial bank said clients' total carbon dioxide emissions were 646,643 tonnes in 2022.

The amount was calculated based on the outstanding business loans disbursed by the bank to corporates and small and medium enterprises.

"Amidst evolving global regulations in the sustainability sphere, BRAC Bank's proactive approach places it at the vanguard of these important changes," it said in a press statement.

A member of the Global Alliance for Banking on Values (GABV), BRAC Bank's Sustainability Report is endorsed by the Partnership for Carbon Accounting Financials (PCAF) and published on its website.

The PCAF is a global platform of financial institutions that work together to develop and implement a harmonised approach to assess and disclose the GHG emissions associated with their loans and investments.

BRAC Bank said, as a founding member of the GABV, it has consistently demonstrated its dedication to sustainable banking.

The Sustainability Report places it among a handful of banks and multinational corporations in Bangladesh that regularly publish reports adhering to the Global Reporting Initiative (GRI) Guidelines.

Moreover, BRAC Bank stands out as the only bank from Bangladesh to have signed up to PCAF.

"Sustainability is at the core of our operations, and this GHG emission disclosure is a critical step in our journey towards achieving carbon neutrality," said Sabbir Hossain, chief sustainability officer and a deputy managing director of BRAC Bank.

"We are committed to enhancing our disclosures, encompassing internal emissions, and expanding the scope in future reports, with the ultimate goal of transitioning towards net zero."

Established in 2001 with a particular focus on the SME segment, BRAC Bank has 187 branches, 40 sub-branches, 456 SME unit offices, 330 ATMs, and 1,040 agent banking outlets, with the number of customers standing at more than 14 lakh.