by SAVIOUS KWINIKA
JOHANNESBURG, (CAJ News) – AFRICAN Bank’s inaugural social bond has been recognised as the Best Social Bond in Africa at the 2025 EMEA Finance Achievement Awards, underlining growing investor confidence in sustainable finance instruments aimed at driving economic inclusion.
The award marks a significant milestone for the South African lender, whose debut R700 million social bond issuance formed part of its Sustainable Finance Framework launched in 2025.
The framework is central to African Bank’s broader transformation strategy as it seeks to diversify its operations while embedding sustainability into its long-term growth plans.
The EMEA Finance Achievement Awards recognise some of the most innovative and influential debt capital market transactions across Europe, the Middle East and Africa.
African Bank received the accolade alongside major regional and international financial institutions and issuers.
Issued in September 2025, the listed social bond attracted strong demand from investors, drawing bids exceeding R1.1 billion and raising R700 million through three-year and five-year notes.
The proceeds are earmarked to support inclusive economic growth through financing for small and medium-sized enterprises (SMEs), with a focus on expanding access to capital for underserved businesses and communities.
The bank said the transaction highlighted the growing appetite among investors for financial instruments that combine commercial returns with measurable social impact.
Its Sustainable Finance Framework enables the bank to raise capital through green, social and sustainability bonds and loans.
The framework outlines eligibility criteria for SME financing and is expected to support future funding for a range of green and social projects, including renewable energy initiatives.
It also incorporates governance, risk management and reporting mechanisms designed to ensure transparency and accountability.
Edna Sathekga-Montse, Group Chief Transformation and Sustainability Officer at African Bank, said the award reflected the institution’s commitment to directing capital towards sectors of the economy that often struggle to secure adequate funding.
“This award is significant for us because it reflects a very deliberate choice about how capital can be used,” she said.
“We wanted this social bond to represent something bigger than a financial milestone. It was about directing funding towards the entrepreneurs, businesses and communities that are often expected to carry enormous economic pressure with limited access to funding, infrastructure and economic mobility.”
African Bank said the social bond formed part of a wider strategy focused on responsible growth, financial inclusion and strengthening economic resilience in underserved communities.
“The award reflects more than a successful transaction,” Sathekga-Montse said.
“For us, it speaks to the role financial institutions can play in opening wider pathways to economic participation, supporting entrepreneurs and helping communities build stronger economic futures.”
The recognition comes as sustainable finance gains momentum across Africa, where governments, development finance institutions and private sector players are increasingly turning to innovative funding mechanisms to address economic and social challenges while supporting long-term development objectives.
– CAJ News