Laxmi Sunrise Bank reports over 200,000 tonnes in financed emissions, highlights progress in green lending

KATHMANDU, JUNE 10: Laxmi Sunrise Bank has released its Carbon Emission Report for the fiscal year 2023/24, reaffirming its commitment to environmental sustainability and climate transparency. The report, aligned with global best practices, is part of the bank’s broader sustainability agenda and follows the methodology of the Partnership for Carbon Accounting Financials (PCAF) to assess the environmental impact of its financing activities.

According to the report, the total financed emissions from assessed portfolios amounted to 202,013.42 tonnes of CO₂ equivalent (tCO₂e) during the fiscal year. Among the major contributors were business loans, which accounted for 190,293.42 tCO₂e. Mortgage loans followed with 9,485.46 tCO₂e, while motor vehicle loans contributed 1,528.98 tCO₂e. Emissions from project finance, excluding hydropower, stood at 705.56 tCO₂e.

On the positive side, the bank’s financing of hydropower projects helped avoid an estimated 20,347.11 tCO₂e, reflecting its continued investment in clean and renewable energy.

In alignment with Nepal’s national target of achieving net-zero emissions by 2045, the bank is increasing its focus on green finance, energy-efficient lending, and environmental risk management. The bank has also adopted the Reduce, Reuse, Recycle (3R) approach across its internal operations and customer engagement efforts.

To complement its strategic efforts with on-ground action, the bank has launched "Mission 10K," an initiative aimed at planting 10,000 trees within the current fiscal year. So far, approximately 7,500 trees have been planted under the program, reinforcing the bank’s belief that climate commitments must translate into tangible outcomes.

Looking ahead, the bank plans to expand its carbon accounting to cover a broader range of asset classes, enhancing transparency and accountability across its portfolio. According to the bank, these efforts reflect its strategic vision to lead in responsible banking and contribute meaningfully to a greener and more resilient future.