FAB Sets AED 100B Target to Advance MENA Water Sustainability

First Abu Dhabi Bank (FAB) has become the first financial institution in the MENA region to sign the UN Sustainable Blue Economy Finance Principles, alongside a commitment to allocate AED 100 billion towards water-related financing. The move highlights the growing role of water security in ESG-focused capital allocation, financial strategy and risk management across the banking sector.

What was Announced

First Abu Dhabi Bank (FAB) has set an AED 100 billion blue finance target for water-related projects and the wider blue economy between 2026 and 2035. The commitment also makes FAB the first bank in the Middle East and North Africa (MENA) to sign the UN Sustainable Blue Economy Finance Principles. The framework is designed to help financial institutions factor water-related risks and opportunities into core business and investment decisions while supporting the sustainable management of marine and water resources.

The AED 100 billion commitment forms part of FAB’s existing AED 500 billion sustainable finance target for 2030, while extending the bank’s ambitions in sustainable finance beyond that timeframe. Funding will support sustainable water infrastructure, water reuse initiatives and technologies focused on strengthening water security. The strategy is aligned with the UAE Water Security Strategy 2036 and comes ahead of the UN Water Conference, scheduled to take place in Abu Dhabi in December 2026.

FAB has previously established a presence in blue finance through the issuance of the region’s first blue bond by a financial institution, with cumulative issuances reaching USD 70 million. By the first half of 2026, the bank had facilitated AED 395 billion in sustainable and transition financing, equivalent to 79% of its 2030 target. The figures underline the scale of FAB’s existing sustainable finance operations as it adds a dedicated focus on water-related financing.