Abu Dhabi Islamic Bank (ADIB), one of the UAE’s leading Islamic financial institutions, has just introduced a brand-new range of green financing products. These are designed to help individuals make eco-friendly choices while staying aligned with Sharia principles.
The move comes as part of ADIB’s ongoing commitment to support the UAE’s wider sustainability goals and encourage people to adopt more environmentally conscious lifestyles. With these new options, customers can now apply for personal finance or car finance specifically for green purchases — and enjoy better rates and terms.
What Is Green Financing?
Green financing is a type of loan or financial product that supports activities or purchases that are considered environmentally friendly. This includes things like buying electric or hybrid cars, installing solar panels, or even investing in energy-efficient home appliances.
In simple terms, it rewards people for going green.
ADIB’s new green financing offering is not just a smart move for the environment — it’s also a great option for customers who are looking for ethical, cost-effective ways to improve their lifestyle and reduce their carbon footprint.
Sharia-Compliant and Eco-Friendly
Since ADIB is a fully Islamic bank, all of its products follow Sharia principles. The newly launched green financing options are no different. They are structured to comply with Islamic finance guidelines while still offering the benefits of a green loan.
This means no interest-based lending. Instead, ADIB uses Islamic contracts like Murabaha, where the bank buys the product and sells it to the customer at a profit, which is clearly stated in advance. This ensures full transparency and fairness.
In this new offering, customers can access financing for a variety of sustainable products and services without compromising their religious values.
What Can You Use It For?
ADIB’s green financing covers a wide range of eco-friendly purchases. Here are some examples of what customers can apply for:
- Electric or hybrid vehicles
- Energy-saving air conditioning systems
- Solar water heaters and solar panels
- Smart home systems that reduce energy use
- LED lighting upgrades
- Home insulation and energy-efficient windows
- Eco-friendly furniture and building materials
These products aren’t just better for the planet — they can also save customers money in the long run. For example, switching to solar energy or installing energy-efficient appliances can lower monthly electricity bills significantly.
Better Rates for Going Green
One of the standout features of ADIB’s green financing is the special pricing. The bank is offering preferential profit rates for customers who choose to finance green items. This is meant to make eco-friendly choices even more attractive.
In addition to better rates, ADIB also plans to offer flexible payment plans. Customers can select repayment periods that suit their financial situation, making it easier to transition to a greener lifestyle.
This move follows a global trend where banks and financial institutions are incentivising sustainable behaviour through financial products that reward eco-friendly decisions.
Helping the UAE Reach Net Zero
The launch of ADIB’s green financing products ties into a much bigger picture. The UAE government has set ambitious environmental targets, including reaching net zero carbon emissions by 2050. That means reducing the country’s greenhouse gas output to as close to zero as possible.
For that goal to be achieved, both the public and private sectors need to work together — and that includes the banking industry. With its new initiative, ADIB is playing its part in this national effort.
According to ADIB, supporting sustainable finance is no longer optional — it’s a responsibility. The bank says it wants to encourage individuals to make greener choices by providing easy access to ethical, affordable, and supportive financial solutions.
ADIB’s Growing Role in Green Finance
This isn’t ADIB’s first step into sustainable banking. The bank has already made several efforts to support environmental responsibility. In recent years, it has financed green buildings and invested in internal initiatives to reduce energy and paper use.
But with this new launch, the focus shifts directly to consumers. The goal is to empower regular people to live more sustainably — not just large businesses or developers.
ADIB’s leadership believes that people are more likely to make green choices when financial hurdles are removed. By offering cost-friendly options, they hope to increase the adoption of sustainable practices across the UAE.
Customers Are Already Showing Interest
Since announcing the new green financing options, ADIB says it has received a lot of interest from customers. Many people in the UAE are already thinking about how to make their homes or cars more eco-friendly — now, they have the financial tools to do it.
Electric vehicles, in particular, are gaining popularity, especially as the government continues to expand charging infrastructure and offer incentives for EV owners.
By making it easier to finance such vehicles, ADIB is supporting this growing demand while helping reduce emissions from traditional petrol and diesel engines.
What’s Next?
As awareness around climate change grows, financial institutions around the world are being encouraged to support sustainable solutions. ADIB’s move puts it in line with international banking trends that focus on climate-conscious lending.
The bank has also hinted that more green initiatives are in the works. In the future, we could see new investment products, green savings plans, or partnerships with eco-focused companies.
For now, the new green personal and auto finance products mark a strong step forward — for both the bank and the UAE’s broader environmental strategy.
A Greener, More Responsible Tomorrow
With ADIB’s new offerings, going green doesn’t have to be hard or expensive. Customers now have an option to invest in a better future while also staying true to their values. Whether you want to buy an electric car, upgrade your home, or reduce your energy bills, the bank has created a way to do it that’s ethical, affordable, and impactful.
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