Etihad Airways has become the first client to sign on to Citi ADGM’s Sustainable Deposit Solution.
Citi’s newly launched deposit solutions will further assist the airline in investing excess cash as part of its sustainability agenda.
Etihad will have access to Citi’s two new deposit solutions – Sustainable Time Deposit (TD) and Sustainable Minimum Maturity Time Deposits (MMTD) – which deliver competitive yields and are based on Citi’s green and social bond frameworks, supporting the UN’s Sustainable Development Goals (SDGs).
Elissar Antonios, Citi UAE CEO and MENA Cluster Head, Citi said: “We are delighted to partner with Etihad Airways as our first client to deposit funds in Citi’s ADGM Sustainable Deposit Solution and explore new and innovative ways to support their sustainability objectives.
“Our new series of deposit solutions reflect Citi Leadership’s commitment in helping our clients advance ESG KPIs in their treasuries through a range of sustainable solutions.”
Adam Boukadida, Chief Financial Officer of Etihad Aviation Group said: “Etihad is committed to sustainability at every touchpoint across our business, from decarbonising our operations through the Greenliner and Sustainable50 programmes, to launching the Etihad Mangroves initiative, and rewarding our guests through the Conscious Choices loyalty programme.
“Our finance team is always looking for opportunities to develop innovative sustainable financing solutions and we are very proud to continue our strategic partnership with ADGM and Citibank on this initiative.”
Funds invested into the deposits are allocated to finance or refinance assets in a portfolio of eligible green and/or social finance projects. Allocation is based on the criteria set out in the Citi Green Bond Framework, Social Finance Framework and Social Bond for Affordable Housing Framework.
Daniel Tromans, Group Treasurer of Etihad Aviation Group noted: “As a leader in sustainable aviation finance, we are delighted to be the first corporate to deposit funds in Citi ADGM’s Sustainable Deposit.
“This is the latest of many sustainable finance solutions we have implemented over the last four years and another clear signal of our commitment to sustainability.”
Vani Rao, Liquidity Management Services Head for Middle East and North Africa, Citi added: “We are pleased to bring such innovative ESG solutions to our flagship branch Abu Dhabi Global Markets (ADGM).
“Given our robust frameworks, Citi would be financing or refinancing environmentally friendly projects such as renewable energy, sustainable transportation, water quality as well as social friendly projects like expansion of access to low-income communities in emerging markets, affordable housing to name a few.
“We are excited that Etihad is our first client to partner with us on this important journey”.
Citi’s Frameworks align with the International Capital Market Association’s Green Bond Principles and Social Bond Principles and have been assessed by a leading independent ESG and corporate governance research, ratings, and analytics firm.