FNB Eswatini has launched a comprehensive climate risk strategy that integrates Environmental, Social, and Governance (ESG) principles into its core operations, reinforcing the bank’s commitment to sustainable growth and environmental stewardship.
Speaking at the Earth Hour 2025 commemoration event hosted by the Eswatini Electricity Company (EEC) at House on Fire in Malkerns, the CEO of FNB Eswatini, Thokozani “TK” Dlamini, highlighted that environmental risks are equivalent to economic risks.
He said the bank not only reports its own emissions data but also utilizes Moody’s suite of climate risk assessment tools designed for banks to evaluate and manage the financial impacts of climate change.
Dlamini emphasized that FNB views its partnership with EEC, established a year ago, as essential, particularly as they prioritize environmental sustainability in their business operations.
“At FNB, we believe that sustainability is fundamental. Our motivation is straightforward: the well-being of our environment is linked to our future and prosperity. For this reason, we have placed environmental sustainability at the core of our business operations. As a responsible corporate citizen, we recognize that our role extends beyond providing financial services. It also involves ensuring that we significantly contribute to our nation’s prosperity and our planet’s sustainability,” he stated.
Dlamini proceeded to underscore that, as a financial institution, they recognize that environmental risks lead to economic risks and that climate change disrupts markets, increases operational costs, and poses serious threats to both customers and stakeholders.
“We are dedicated to embedding sustainability in our policies, operations, and strategies. One way we achieve this is by aligning with emerging regulatory requirements, compliance, and best practices. FNB is committed to the pledges made by development finance institutions regarding climate action through the integration of ESG principles, enhancing climate finance adaptation, and encouraging private sector participation. We also ensure that our investments promote sustainable growth while mitigating climate risks,” he continued.
Dlamini concluded by noting that FNB has implemented the Climate Risk Milestone Tracker to oversee and manage its climate-related policies, which encompass climate change, energy, and fossil fuel policies.
“We also assess climate-related risks, incorporate ESG factors into our risk management, and align our financial decision-making with sustainability principles. We are continually refining our climate appetite to maintain a balance between financial growth and environmental accountability. We will continue integrating responsible banking practices, advocating for climate resilience, and investing in initiatives that support a greener world,” he concluded.