PBA and IFC join forces to boost green buildings

KARACHI: The Pakistan Banks’ Association (PBA), in partnership with the International Finance Corporation (IFC), arranged a workshop on the benefits of green, resilient real-estate investment, a statement said on Thursday.

Participants from over 25 banks operating in the country attended the event. A key area of focus was cooling for buildings, an area especially relevant to Pakistan given recent heatwaves.

The IFC, a member of the World Bank Group, is a leader in investing and advising on green building practices globally. The workshop included sessions on the commercial value of green buildings for developers, the financial benefits for investors, and case studies highlighting the business case for green buildings across sectors including residential, offices, warehousing and hospitals.

The workshop enabled participatory banks to expand their capacity to support green real-estate projects in the country, which should help foster long-term economic stability and growth.

In addition, it addressed cooling options for green buildings, which is pertinent given that Pakistan has the fifth highest demand for cooling in the world. This included options for participants to leverage the IFC’s recently launched sustainable cooling initiative.

Commenting on the occasion, Vice President of the PBA Ahmed Bozai said: “PBA’s partnership with the IFC in green real-estate investment exemplifies our joint commitment to sustainability. This collaboration aims to identify potential solutions and investment avenues towards fostering a low-carbon economy, reflecting our dedication to creating a sustainable environment for our communities.”

“The combination of the IFC’s advice and financing provides great investment potential for banks in Pakistan,” said Naz Khan, IFC’s principal country officer for Pakistan. “Local banks can access green finance and create a new asset class inPakistan, while reducing harmful emissions and lowering costs for their customers. We believe these programmes are beneficial for banks, developers, consumers, businesses, and the government.” According to the World Bank Group’s Country Climate and Development Report for Pakistan, energy-efficient buildings represent a $5.5 billion investment opportunity until 2050, as well as reducing emissions and costs and creating a more resilient building stock to mitigate climate change shocks.