BEEAH and Emirates Islamic sign landmark ESG Agreement
Dubai, 6 March 2024: BEEAH Group, the Middle East’s sustainability pioneer, and Emirates Islamic, one of the leading Islamic financial institutions in the UAE, officially entered a joint agreement for a groundbreaking partnership that includes Environmental, Social, and Governance (ESG) linked financing facility, marking a significant milestone in advancing environmental goals in the UAE.
This innovative initiative reflects both parties’ commitment to driving sustainable, smart solutions across industries for companies, cities and governments. In addition, the partnership exemplifies how strategic thinking and financial expertise can converge with sustainability to promote a greener future.
The financing facility’s proceeds will be strategically allocated to BEEAH ’s numerous activities across future-critical sectors including clean energy, green mobility and waste management. The facility will also ensure regular CAPEX utilisations towards investment in the modern technologies and equipment utilised by BEEAH to run existing and new sustainability-driven projects in the UAE and the wider GCC region. Emirates Islamic will also collaborate and support BEEAH ’s education and awareness initiatives to help promote sustainable practices among individuals and organisations alike.
The signing ceremony took place in BEEAH Group’s iconic HQ, in the presence of representatives from both entities including Khaled Al Huraimel, Group CEO and Vice Chairman of BEEAH Group and Farid Al Mulla, CEO of Emirates Islamic, who signed the agreement.
Remarking upon the occasion, Khaled Al Huraimel Group CEO and Vice Chairman of BEEAH Group, said: “As we continue to grow and spearhead ground-breaking industry firsts with our projects that support a more sustainable future for all, it is more important than ever that we collaborate with partners in other sectors to pave the way forward. By working with Emirates Islamic, BEEAH will continue to drive positive change for the environment, while exploring sophisticated financial mechanisms that support our initiatives.”
In addition to supporting BEEAH ’s environmental innovations, Emirates Islamic will also set a standard for alternative financing in the industry through this partnership. The facility features an innovative and well-structured Shariah-compliant term financing, as well as a Liquidity Murabaha structure based on the sale and purchase of tradable certificates.
Elaborating on the partnership, Farid Al Mulla, CEO of Emirates Islamic, said: “Emirates Islamic’s commitment lies in supporting businesses that are focused on furthering the UAE’s long-term sustainability agenda, aligned with our own sustainability objectives. BEEAH is setting new standards for sustainability with its array of innovative ventures aimed at charting a course for a smarter and more sustainable future. We are pleased to sign an ESG-linked financial agreement with BEEAH Group, a leader in the sustainability sector.”
Mohammad Kamran Wajid, Deputy Chief Executive Officer at Emirates Islamic, said: “As one of the leading Islamic banks in the region, we continue to bring our customers alternative financing through our innovative and carefully crafted Shari’ah-compliant financing facilities. Embracing the Year of Sustainability in the UAE, our partnership with BEEAH signifies a stride towards bolstering the UAE's pursuit of attaining its Net Zero 2050 goal and shaping a more sustainable future.”
BEEAH’s portfolio of future-ready, sustainability-led projects, that meet both global and UAE sustainability targets, have had major impact in fulfilling its zero-waste to landfill ambitions as well as the UAE’s agenda for net-zero emissions and clean energy generation.
To ensure continued momentum, the agreement will outline key performance indicators aligned with BEEAH’s sustainability strategy, that will also contribute significantly to the UAE’s Net Zero by 2050 Strategic Initiative as well as the UAE Green Agenda 2015-2030.