ABBANK has officially become a member of the United Nations Environment Programme - Finance Initiative (UNEP FI). (Photo: ABBANK) Hanoi (VNA) - The An Binh Commercial Joint Stock Bank (ABBANK) has officiallybecome a member of the United Nations Environment Programme - Finance Initiative(UNEP FI), pioneering in response to climate change and fulfillment of socialand environmental corporation responsibility.
ABBANKhas adopted the State Bank of Vietnam’s directive to promote green creditgrowth and manage environmental and social risks in financial operations.
Ithas integrated sustainability into its risk management and credit grantingprocess by giving priority to projects which have no adverse environmentalimpacts and power-efficiency or use renewable energy and green technologies.
ABBANKhas an Exclusion List that defines the types of projects the bank does notfinance and will classify projects according to levels of their social andenvironmental risks.
Ithas been offering three ODA-funded loans with strict requirements onenvironmental protection, including Small and Medium Enterprise FinanceProgramme (SMEFPIII) financed by the Japan International Cooperation Agency(JICA), the Rural Development Fund (RDFII) and the Vietnam – SustainableAgriculture Transformation (VNSAT).
“Becominga member of UNEP FI is significant to facilitate the green credit growth at ABBANKand in line with the national green growth strategy, an initiative to fulfillits corporate social responsibility by contributing to community andenvironment. Moreover, this creates a foundation for product development in thefuture in order to increase the green credit portfolio at ABBANK. This helpsthe bank prevent the financial risk and reputational risk during the normalcourse of business and strengthens the brand image in the financial market ingeneral and in this segment in particular,” ABBANK CEO Cu Anh Tuan stated.
TheUNEP FI is a public-private partnership between the United Nations EnvironmentProgramme (UNEP) and the financial sector. It seeks to encourage the betterimplementation of sustainability principles at all levels of operations infinancial institutions, namely through the incorporation of environmental,social and governance factors in risk analyses.
Joinedby over 200 institutions, including banks, insurers and investors, the UNEP FIplaced great emphasis on promoting sustainable development by encouraging theintegration of environmental considerations into all aspects of theiroperations and services.-VNA
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