The National Bank of Ethiopia (NBE) has joined the Global Islamic Climate Finance Alliance (GICFA) as a founding affiliate at its official launch alongside COP31 in Antalya, Türkiye. The alliance connects Islamic finance with mainstream climate finance and provides a platform for mobilizing resources through products such as green bonds and sukuk. Expanding interest-free finance could also bring unbanked and underserved communities into Ethiopia’s formal financial system.
The membership aligns with NBE’s work on a draft National Interest-Free Finance Strategy aimed at coordinating the sector’s development and broadening financial inclusion. GICFA will also provide knowledge sharing and capacity building among member institutions. As host of COP32 in 2027, Ethiopia plans to use the alliance to lead policy dialogue on Islamic climate finance and sustainable development and help move its plans into implementation.