Fils blockchain has signed a Memorandum of Understanding (MOU) with Mashreq Bank, a prominent financial institution in the MENA region. Fils plans to create a carbon offset service for corporate clients, enabling them to easily offset carbon from their Mashreq corporate accounts.
This supports environmental responsibility and tackles greenwashing by using transparent, blockchain-tracked carbon credits.
Fils aims to revolutionize the carbon credit market and combat climate change. The project is built on Sui’s blockchain technology, which serves as the primary decentralized ledger for tracking carbon credits within the Fils ecosystem.
The relationship between Sui and Fils is focused on harnessing blockchain technology to align with the Environmental, Social, and Governance (ESG) objectives of the United Arab Emirates (UAE).
Fils’ founder, Nameer Khan, has discussed the project’s potential highlighting the company’s efforts to create a more sustainable future through blockchain innovation.
The collaboration between Sui and Fils aims to leverage Sui’s blockchain technology to serve as the preeminent decentralized ledger for tracking carbon credits within the Fils ecosystem.
Mashreq Bank is the oldest privately-owned bank in the United Arab Emirates and one of the oldest banking institutions in the Middle East. Established in 1967, the bank has its headquarters in Dubai and offers a range of banking solutions, including credit cards, personal loans, investments, insurance, and more.
With over 16 overseas offices in 13 countries, it has embraced digital banking and offers various digital services, such as Mashreq Neo, a digital banking platform for individuals, and Mashreq NeoBiz, a digital banking platform for small and medium-sized enterprises (SMEs).
The bank also provides a dedicated mobile banking app for SME customers called Mashreq SnappBiz. In addition, Mashreq Bank has launched the Titan platform for comprehensive corporate banking, in partnership with the Dubai International Financial Centre (DIFC).
The founder and Mashreq’s Head of Corporate and Investment Banking, Joel D Van Dusen, signed the MOU at Mashreq’s Global Headquarters. The partnership, supported by H.E. Juma Al Kait, focuses on developing blockchain-based carbon-offsetting financial products to streamline decarbonization for UAE-based corporate clients. The goal is to simplify the process of purchasing, auditing, and reporting carbon credits, enhancing accessibility for corporations.
Joel noted that collaboration would have a positive influence on Mashreq’s corporate clients. He stressed its role in solidifying the UAE’s leadership in merging sustainability into the economic and financial sectors.
Additionally, the launch of the carbon-offsetting corporate offering is anticipated in the first half of 2024, marking a significant stride in the region’s journey towards sustainable finance.
Nameer sees the partnership as a driver for advancing Environmental, Social, and Governance (ESG) standards in the region’s financial markets. He emphasized the clear Key Performance Indicators (KPIs) of the accounts, aiming to eliminate greenwashing and promote increased accountability.