GCB Bank deepens efforts in sustainable financing drive

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GCB Bank PLC has outlined a number of sustainable financing initiatives aimed at supporting climate resilience, financial inclusion and responsible business growth as part of its Environmental, Social and Governance (ESG) agenda.The Bank’s Executive Director for Wholesale and Investment Banking, Abdulsalam Alhassan, disclosed this during a presentation at the 11th International Conference on Business Management, Entrepreneurship and Development (ICBMED) hosted by the University of Professional Studies, Accra (UPSA).Speaking on the theme, “Financing Sustainability and ESG-Driven Enterprises: The Role of Commercial Banking in Africa’s Economic Transformation,” Mr Alhassan said sustainability and ESG considerations had become critical to economic resilience, investment attractiveness and long-term business stability.According to him, climate-related disruptions, environmental degradation and governance challenges continue to pose financial and economic risks, making it necessary for banks to support enterprises that promote responsible resource use and transparency.Mr Alhassan said GCB Bank had, over the past 18 months, intensified its sustainability agenda through policy, operational and financing interventions targeted at ESG-related investments and activities.He said the Bank had established a Sustainability Committee at the Board level to oversee sustainability initiatives and had also developed a Sustainability Framework and Environmental and Social Management System (ESMS) to screen SME and corporate lending transactions for environmental, social and climate-related risks before approval.He further disclosed that the Bank had restructured its operations to create a dedicated Commercial and Business Banking Division focused on Micro, Small and Medium-sized Enterprises (MSMEs) in recognition of their role in job creation and inclusive economic growth.According to him, the Bank has also introduced a Staff Community Impact Programme through which employees support community-based and sustainable development initiatives.On financing interventions, Mr Alhassan said GCB Bank is currently disbursing a US$13 million Sustainable Use of Natural Resources and Energy Finance (SUNREF) on-lending facility secured from the French Development Agency (AFD) to support SME clients undertaking sustainable investments.He noted that under the facility, the Bank had supported a manufacturing company to install solar photovoltaic systems, resulting in about a 40 per cent reduction in energy costs and a lower carbon footprint.Mr Alhassan also highlighted other social impact interventions by the Bank, including salary advance products, financing support for National Service personnel, investment in student accommodation infrastructure and support for road construction projects aimed at improving access to markets and production centres.The UPSA International Conference on Business Management, Entrepreneurship and Development has, over the past decade, brought together policymakers, business executives, industry leaders and academics to discuss business growth and economic development trends in Africa.This year’s conference was hosted by the Vice-Chancellor of UPSA, Prof. Kwaku Mensah Mawutor, and chaired by the Deputy Chief Executive Officer of the Forestry Commission, Mr Elikem Kotoko.