Spanish Bank BBVA announced that it achieved €26 billion (USD$28.5 billion) in sustainable finance mobilization in Q2 2024, a new record for the bank, driven by factors including growth in areas such as cleantech and renewable energy.

According to BBVA, the bank is ahead of its goal to mobilize €300 billion in sustainable finance from 2018-2025. BBVA set an initial €100 billion 2025 sustainable finance goal in 2018, increasing it to €200 billion in 2021, and then raising the target again in 2022 to the current €300 billion ambition.

To date, the bank has facilitated €252 billion towards its target, including more than three quarters (77%) channeled to green areas such as the fight against climate change and preservation of natural capital, and 23% to the promotion of inclusive growth.

The new record marks the continuation of solid sustainable finance growth for BBVA in 2024, with year-to-date sustainable business reaching €46 billion in the first half of the year, up 37% over the same period last year.

By business unit, year-to-date sustainable finance growth has been strongest in corporate banking, increasing 57% to nearly €16 billion, with the bank citing activity in areas including “solutions that enable potential savings with a focus on energy efficiency, vehicle fleet renovation and reduction of their water footprint,” with particularly strong growth in the most recent quarter in agrobusiness, water, and circular economy financing.

BBVA’s Corporate and Investment Banking (CIB) unit accounted for the majority of sustainable finance business in the first half of the year at €25 billion, increasing by 32%, with strong performance noted in financing for cleantech and renewable energy projects, while the retail business saw a 12% increase in sustainable business mobilization to more than €5 billion, with particular strength noted in performance related to purchases of hybrid and electric vehicles.

According to Javier Rodríguez Soler, Global Head of Sustainability and CIB at BBVA, project finance was a significant catalyst of the record performance, “driven by financing for renewable energy and cleantech.”