Sterling HoldCo's 2024: Sustainability Footprint
Sterling Financial Holdings Company Plc ("Sterling HoldCo") published its 2024 Sustainability Report to disclose Environmental, Social, and Governance (ESG) performance across its subsidiaries: Sterling Bank, The Alternative Bank, and SterlingFi Wealth Management (yet to commence operations).
The Group operates under a purpose-driven model, integrating sustainability into its core strategy through its H.E.A.R.T. framework: Health, Education, Agriculture, Renewable Energy, and Transportation.
The report aligns with multiple global and national frameworks, including the Nigerian Sustainable Banking Principles (NSBPs), GRI Standards, IFRS S1 & S2, TCFD, UN Global Compact, and the SDGs, reinforcing regulatory compliance and international comparability.
Governance oversight is supported by a dedicated Sustainable Banking Unit, the Enterprise Risk Management Group and a cross-functional Sustainability Working Group.
Environmentally, the Group emphasises emissions reduction, waste management, renewable energy adoption, and climate risk management. Sterling Bank surpassed its three-year emissions reduction target. It witnessed a 22.6% cut (2021–2022) and a further 0.8% reduction (2022–2023), while committing to a net-zero pathway by 2050.
In 2024, 68 branches and 196 ATMs were solar-powered, and the 955kWp head office solar project saved 116.5 tCO₂e emissions (28% increase from 2023).
Social performance focuses on financial inclusion, women's empowerment, diversity, education, and healthcare.
By 2024, the workforce had a 45:55 female-to-male ratio, with 34% female representation in tech roles and the appointment of the Group's first female Executive Director.
Community initiatives included $100 million in agricultural investment commitments, $1 billion healthcare investment discussions, and national sustainability campaigns that impacted over one million people.
Strategically, Sterling HoldCo continues to scale sustainable finance, ESG data systems, and climate-aligned investments. Total H.E.A.R.T. sector investments reached N247.6 billion in 2024, led by Agriculture (N149.8bn) and Transportation (N67.9bn) . The report positions sustainability as both a governance priority and a long-term business growth driver.
SDG ALIGNMENT
Aligned SDGs:
- SDG 3 – Good Health & Well-Being
- SDG 4 – Quality Education
- SDG 5 – Gender Equality
- SDG 7 – Affordable & Clean Energy
- SDG 8 – Decent Work & Economic Growth
- SDG 10 – Reduced Inequalities
- SDG 11 – Sustainable Cities
- SDG 12 – Responsible Consumption
- SDG 13 – Climate Action
Evidence:
- N247.6bn invested in H.E.A.R.T. sectors supporting SDGs 3, 4, 7, 8, 11, and 13
- Women's empowerment initiatives support SDG 5 and SDG 10 (female Executive Director; 45% female workforce)
- Renewable energy deployment (68 branches, 196 ATMs) aligns with SDG 7 & 13
Geographic Scope: Nigeria-wide operations, including 18 states in National Sustainability Week activities
ESG MANAGEMENT
Governance Structure
- Sustainable Banking Unit under Enterprise Risk Management
- Sustainability Working Group across Strategic Business Units
- Board-approved Environmental & Social Risk Policy
Frameworks Used
- GRI Standards
- IFRS S1 & S2
- TCFD
- UN Global Compact
- Nigerian Sustainable Banking Principles
- IFC Performance Standards
- GHG Protocol
Evidence:
"Established a Sustainable Banking Unit under the Enterprise Risk Management Group"
"Our reporting aligns with GRI, IFRS S1 & S2, TCFD, UN Global Compact, and NSBPs."
INITIAL AREAS OF IMPACT
| Area | Evidence |
|---|---|
| Renewable Energy | 68 solar-powered branches; 196 solar ATMs |
| Waste Management | 57% waste reduction; 234 ULAB batteries recycled |
| Climate Action | 116.5 tCO₂e emissions savings in 2024 |
| Financial Inclusion | 100+ accounts for visually impaired customers |
| Women Empowerment | Bloom Network mentored 300+ female students |
METRICS FOR DEFINITION
| Metric | 2024 Value | Page |
|---|---|---|
| Scope 1 & 2 Emissions (HoldCo) | 7,100.63 tCO₂e | p.27 |
| Diesel Use | 1,248,435 litres | p.27 |
| Electricity Use | 4,957,875 kWh | p.27 |
| Water Use | 2,110,185 litres | p.27 |
| Paper Use | 47,424 kg | p.27 |
| Solar Emission Savings | 116.5 tCO₂e | p.26 |
| WasteBanc Recyclables | 202 tons | p.26 |
Assurance: Independent Assurance Report included.
AREAS OF FOCUS
Future Priorities
- Net-zero by 2050
- Scaling sustainable finance
- Expanding solar energy deployment
- ESG real-time reporting platform
- Climate-risk disclosure (IFRS S2)
Evidence:
"Developing a strategy to follow a properly structured pathway to net zero by 2050."
MATERIALITY CONCEPTS
Material Issues Identified:
- Climate change
- Financial inclusion
- Gender equity
- Waste management
- Energy efficiency
- ESG risk exposure
A materiality analysis and stakeholder mapping were published (Section: Materiality Analysis, p.112).
SUSTAINABILITY RISK MANAGEMENT
Approach:
- Environmental & Social Risk Management System (ESRMS)
- Climate, physical, and transition risk analysis
- PCAF methodology for financed emissions
- TCFD-aligned assessments
Evidence:
- "277 transactions (85%) were screened for environmental and social risks in 2024."
- "Conducted physical and transition risk analysis aligned with TCFD."
SUSTAINABILITY STRATEGY & MANAGEMENT
Strategic Pillars (H.E.A.R.T.)
- Health
- Education
- Agriculture
- Renewable Energy
- Transportation
2024 Investment Breakdown (N247.6 billion)
| Sector | N Value |
|---|---|
| Agriculture | N149.8 billion |
| Transportation | N67.9 billion |
| Health | N14.0 billion |
| Renewable Energy | N9.6 billion |
| Education | N6.3 billion |
Disclosure Improvement Opportunities
The report indicates Sterling HoldCo's strong ambitions, but clearer metrics would strengthen accountability and ESG comparability.
Scope 3 disclosures remain high-level, with limited detail on financed emissions by sector; publishing breakdowns and reduction targets would sharpen climate transparency.
Social programmes are described; however, they lack outcome indicators, such as income, health or livelihoods impact, needed to evidence real change. Beyond the net-zero goal, few forward-looking targets are quantified; interim 2030 ESG milestones would improve trackability.
Biodiversity efforts are acknowledged but not measured. Reporting hectares restored, species protected or carbon sequestered would turn nature commitments into verifiable performance.
Scope 3 Emissions
Currently it has limited detail on financed emissions volumes and sectoral intensities. Improve by publishing Scope 3 sector breakdowns and reduction targets.
Quantified Social Impact
Social initiatives lack outcome metrics (e.g., income change, health outcomes).
Improve by adding measurable social KPIs.
Forward Targets
Few numeric targets beyond net-zero ambition. Improve by publishing the 2030 interim ESG targets.
Biodiversity Metrics
Nature-based solutions discussed but not quantified. Improve by reporting hectares restored, species protected, or carbon sequestration.
Kindly note that Sustainable Stories Africa (SSA) has conducted this review independently, without any financial, material or other inducements, to ensure objectivity, integrity and transparency in highlighting Sterling HoldCo's sustainability disclosures.
