Launching the First Environmental Policy Manual in the Yemeni Banking Sector

Launching the First Environmental Policy Manual in the Yemeni Banking Sector

On Tuesday, May 16, 2023, Al-Amal Microfinance Bank (AMB) and Holm Akhdar for Environmental Studies and Consultancy celebrated the launch of the Environmental Policy Manual of Al-Amal Microfinance Bank, which is the first of its kind at the level of financial and banking institutions and the private sector in Yemen.

The Environmental Policy Manual of Al-Amal Bank, prepared by Holm Akhdar for Environmental Studies and Consultancy, aims to promote awareness of environmentally responsible behavior by complying with local environmental requirements and good international practices, applying environmental and social standards, ensuring that positive business opportunities are funded and green financing is provided. In addition to clarifying how Al-Amal Bank addresses the environmental and social impacts of banking activities, operations and products financed by the Bank.

During the event of launching the manual at Al-Amal Bank’s main office in Sana’a, the CEO of the Bank, Mohammed Saleh Al-Lai said: “The adoption of environmental policy by Al-Amal Bank and the application of the environmental and social responsibility approach in all the bank’s activities and financing products will enable the bank remain committed to achieving sustainable development goals in consistent with national, regional and international trends, and with stakeholders.”

“The Environmental Policy Manual of Al-Amal Bank contains a set of principles, objectives, and environmental and social standards, in addition to a number of procedures and measures that guide the bank’s work with its clients and partners in all fields» added Al-Lai.

Additionally, Al-Lai confirmed that: “the environmental policy of Al-Amal Bank complies with the local environmental laws and legislations, and meets the requirements of international environmental treaties ratified by the Republic of Yemen, with the commitment to integrating environmental and social considerations into the bank’s projects, activities, and financing products, stating that the bank seeks to support the efforts of the government and partners in facing the environmental and climate challenges in the country.”

For his part, the Director General of Holm Akhdar for Environmental Studies and Consultancy, Mohammed Al-Hakimi, said: “We are proud to prepare the Environmental Policy Manual of Al-Amal Bank, which will allow the bank to play an active role in preserving the environment and resources, and applying environmentally friendly practices by redirecting financing towards green banking products to serve local communities.”

“Al-Amal Bank, through its declaration of commitment to environmental responsibility, is today the first Yemeni bank to adopt an environmental policy in accordance with the environmental, social management system and governance, making it a source of inspiration for the Yemeni banking sector in adopting environmental policies, sustainable projects that take into account the environment, climate change, and fostering a culture of environmental and social responsibility in the banking and private sectors in the country.” Al-Hakimi added.

Last December, Al-Amal Bank and Holm Akhdar had signed a joint memorandum of understanding to start a partnership and cooperation between the two sides to develop and implement a number of projects and strategies and launch green financing products.

It is noteworthy that Al-Amal Bank in Yemen, ranking as the first microfinance bank in the MENA region, was established in January 2009, under the supervision of the Central Bank of Yemen. It is a leading non-profit financial institution that never distribute dividends to shareholders, and only works to provide sustainable financial services to low-income households in Yemen, especially small and micro entrepreneurs.

Holm Akhdar for Environmental Studies and Consultancy, an environmental research and consulting company registered with the Ministry of Industry and Trade in the Republic of Yemen, works to provide advice, conducts environmental studies and consulting, and innovates environmental and regulatory solutions by working with companies, institutions, and policymakers to foresee green growth approach in business sectors. It is the advisory arm of Holm Akhdar Foundation.