Climate Change Data

Environmental Metrics

ESG Focus Areas

• Financial Inclusion
• Gender Equality
• Client Protection
• Environmental Sustainability
• Community Development

Environmental Achievements

• 255,809 metric tons of CO2eq saved through Baobab+ initiatives.
• 194,052 kerosene lanterns replaced with solar alternatives.
• Planting of more than 1,200 seedlings in a reforestation effort.

Social Achievements

• Provided financial services to half a million micro-entrepreneurs and small businesses.
• 65% of customers were unbanked before joining Baobab.
• Women in Africa Program mentored nine Senegalese women.
• Partnership with Sew (Meta initiative) for training women entrepreneurs.
• Baobab+ provided access to light and digital technologies to 1,560,000 beneficiaries.

Governance Achievements

• All subsidiaries formally adhered to the Client Protection Principles (CPP).
• 80-90% of KPIs automated.
• 60% of subsidiaries reported KPIs to the Board in 2022.
• Established an ESG Committee to monitor SPM implementation.

Climate Goals & Targets

Environmental Challenges

• Data gathering challenges (mitigated by automation).
• Need for improved reporting of KPIs across subsidiaries.

Mitigation Strategies

• Extensive work with IT to automate data gathering.
• Continued training of teams at subsidiaries to integrate impact reporting.
• Emphasis on SDGs to link incremental change to societal goals.

Supply Chain Management

Climate-Related Risks & Opportunities

Opportunities

• Green Microloans
• Pay-as-you-go solar products

Reporting Standards

Frameworks Used: Client Protection Principles (CPP), Universal Standards for Social and Environmental Performance Management (USSEPM)

Third-party Assurance: MFR (for Social Ratings and Impact Measurement studies)

UN Sustainable Development Goals

• SDG 1: No Poverty
• SDG 5: Gender Equality
• SDG 7: Affordable and Clean Energy
• SDG 8: Decent Work and Economic Growth

Baobab's activities contribute to these SDGs through financial inclusion, access to clean energy, and job creation.

Sustainable Products & Innovation

• Pay-as-you-go solar kits
• Solar cookstoves
• Green Microloans

Environmental Metrics

ESG Focus Areas

• Financial Inclusion
• Gender Equality
• Climate Change
• Community Development
• Environmental Sustainability

Environmental Achievements

• 333,239 Metric tons of CO2eq saved through Baobab+ initiatives (pay-go solar products)
• 264,105 kerosene lanterns replaced with cleaner energy solutions

Social Achievements

• 72% of customers were unbanked before joining Baobab
• AMPELA project in Madagascar supported over 3,000 women in agriculture through training and financing
• Credit Jappo initiative in Senegal provided financing to cooperative members
• Significant increase in loans disbursed to women farmers in Senegal (54% increase between 2021 and 2023)
• Training programs geared towards strengthening women farmers’ financial autonomy in Senegal
• Improved access to finance for women entrepreneurs in Madagascar

Governance Achievements

• Adherence to Client Protection Pathway (CPP) and Universal Standards for Social and Environmental Performance Management (USSEPM)
• Annual SPI self-assessments conducted since 2017
• Social Ratings and Impact Assessments performed by third-party partners (Microfinanza)
• Establishment of an ESG Committee by the Supervisory Board

Climate Goals & Targets

Environmental Challenges

• Lower average credit amounts granted to women compared to men in Madagascar
• Addressing the needs of a large portion of the population not yet served by microfinance, particularly in rural areas
• Managing credit risk in underbanked populations
• Balancing social mission with financial imperatives of loan underwriting

Mitigation Strategies

• AMPELA project to bridge the credit gap for women in Madagascar
• Hybrid approach to risk management blending on-the-ground tracking with data scoring tools
• Investment in initiatives to strengthen local teams’ skills in risk analysis and segmentation
• Development of digital products for lending
• Credit Jappo initiative to address needs of rural populations through group lending

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Unpredictable rainfall

Transition Risks

• Not disclosed

Opportunities

• Development of climate-resilient farming techniques

Reporting Standards

Frameworks Used: Client Protection Pathway (CPP), Universal Standards for Social and Environmental Performance Management (USSEPM)

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 1: No Poverty
• Goal 4: Quality Education
• Goal 5: Gender Equality
• Goal 7: Affordable and Clean Energy
• Goal 8: Decent Work and Economic Growth
• Goal 13: Climate Action

Baobab's activities contribute to these goals through financial inclusion, gender equality initiatives, access to clean energy, job creation, and climate action

Sustainable Products & Innovation

• Pay-go solar products

Awards & Recognition

• Not disclosed