BBVA Sustainable Finance Surges 48% In H1 2025

Spanish banking giant BBVA has reported a remarkable increase in its sustainable finance activity, achieving a 48% rise in the first half of 2025 compared to the same period last year. In a landmark quarter for the bank, BBVA announced it had directed more than €30 billion (USD $34.6 billion) into environmental and social projects during the second quarter alone, setting a new record for sustainable financing in a single quarter. The total volume of sustainable finance for the first six months of the year reached €63 billion, showing the growing support for the bank’s sustainability agenda.

This significant growth matches BBVA’s recently announced goal to direct €700 billion into sustainable finance between 2025 and 2029. This target is more than double the previous goal of €300 billion set for the 2018 to 2025 period. Notably, the earlier target was already exceeded by the end of 2024, a year ahead of schedule. The bank’s ambitious new commitment also highlights the increasing global urgency for climate action, environmental care, and social equity.

According to the bank’s H1 2025 update, a large portion of the funds, 76%, was directed toward projects aimed at climate change and natural resources. These include vital areas such as water management, sustainable agriculture, biodiversity, and circular economy initiatives. The remaining 24% went to various social initiatives, including education, health infrastructure, support for small businesses, and efforts to promote financial inclusion, especially for underserved communities.

BBVA stated that sustainability is not just a social responsibility but also a driver of long-term growth and innovation. The bank sees its sustainable finance strategy as built on three key pillars: climate action, protection and improvement of natural resources, and fostering social opportunities. These principles are woven into the bank’s operations, shaping both investment choices and customer interactions.

Each of BBVA’s customer segments showed strong growth in sustainable financing, with retail banking being the most dynamic. The retail segment grew by an impressive 119% year-on-year, reaching €7.5 billion in sustainable finance. This growth was fueled by new digital tools that help customers figure out potential energy savings in their homes, along with more financing options for hybrid and electric vehicles. These innovations support greener consumer choices and demonstrate how BBVA is using technology to advance sustainability at the individual level.

BBVA’s Commercial Banking division also saw notable growth, increasing by 53% to reach €23.6 billion. This growth reflects the rising interest from small and medium-sized enterprises (SMEs) in adopting sustainable practices and an increase in demand for green loans and advisory services. Meanwhile, Corporate and Investment Banking (CIB) remained the largest contributor, with sustainable finance volumes rising by 34% to €31.9 billion. The CIB segment played a key role in funding large-scale infrastructure and clean energy projects, as well as assisting clients in transitioning to more sustainable business models.

BBVA has stressed that the future of banking lies in integrating sustainability into every layer of financial decision-making. From retail solutions to corporate investment strategies, the bank aims to encourage business growth that aligns with environmental responsibility and social impact. In its official statement about the results, BBVA reaffirmed its commitment to promoting sustainability as a main driver of growth.

“BBVA aims to promote sustainability as a driver of growth and, through it, to foster new business,” the bank stated. “Climate, natural resources, and social opportunities are the three pillars on which its sustainability strategy is based.”

The bank’s performance comes at a time when sustainable finance is increasingly seen as both a moral obligation and a viable business strategy. Investors, regulators, and customers are placing more importance on environmental, social, and governance (ESG) criteria. BBVA’s success in this area positions it as a leading financial institution driving change in Europe and beyond.

As the climate crisis worsens and the demand for inclusive economic models rises, BBVA’s accelerated push into sustainable finance suggests a broader shift within the banking industry. By setting ambitious goals and delivering real results, BBVA is showing that sustainability and profitability are not opposing forces but rather deeply connected elements shaping the future of global finance.