Allied Bank Limited (ABL) is Pakistan’s best bank for ESG, reflecting its leadership in embedding sustainability across strategy, governance and operations.
During the review period, the bank materially expanded sustainable finance, with total sustainable debt issuance rising from PKR13,465 million ($48.4 million) to PKR22,422 million, alongside an increase in sustainable financing volume from 2,516 to 3,110 transactions.
Annualised ESG finance targets also strengthened from PKR1,267 million in 2024 to PKR3,348 million in 2025, underscoring a clear commitment to scaling green and inclusive lending. The bank finances renewable energy projects across solar, wind, hydro and biomass, including a 37.2 megawatt biomass plant generating approximately 240 million kWh annually and avoiding around 124,000 tonnes of CO₂ emissions each year, as well as a 25 MW solar project reducing a further 18,000 tonnes annually.
Governance remains a core differentiator, with ABL becoming the first bank in Pakistan to adopt IFRS S1 and S2 standards in 2024, aligning disclosures with ISSB, GRI and SASB frameworks. ESG oversight is embedded at board level, supported by dedicated sustainability committees and a comprehensive environmental and social management system, with 99% of the credit portfolio screened for environmental and social risks by December 2025.
Social impact is equally strong, with CSR investment increasing from PKR186 million to PKR496 million, alongside over 131,000 participants reached through financial literacy programmes by 2025. Financial inclusion accelerated significantly, with 3,997,085 new basic accounts opened in 2025, expanding access to banking services.
