BBVA has just announced its partnership with US venture capital firm Fifth Wall aimed at decarbonizing the real estate and construction sectors.
Both industries are estimated to contribute some 40% of the world’s total CO2 emissions, and hence advancing their decarbonization is a top priority.
The fund is already heavily engaged in supporting startups and larger companies that develop cutting-edge technological solutions capable of reducing the construction industry’s carbon footprint.
This correlates closely with the goal of decarbonizing the real estate sector, the impact of which on climate change is only now coming to light.
In addition to its high profitability potential for the bank from this venture, BBVA is also focused on gaining first-hand knowledge about the world’s most meaningful and innovative technologies that can help fight the climate crisis.
Pioneering the financing of such new technologies will, as the bank hopes, also help it obtain invaluable insight into the business opportunity and risks, which can, in turn, allow it to provide unique advice to clients.
BBVA has already marked green technologies and decarbonization as two of its main priorities for investment, with a $20 million investment made in Lowercarbon Capital in April.