Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced gasoline consumption by significantly reducing the number of official business vehicles from 408 to 122.
• Implemented green office practices, including energy and water conservation measures and paperless office initiatives.
• Green credit balance reached RMB11,273 million.

Social Achievements

• Launched "Student E-Loan" product to support college students.
• Provided financial support for affordable housing projects, with housing loans reaching RMB 8.356 billion.
• Served 2,065 medium, small and micro enterprise customers, with loan balance amounting to RMB151,917 million.

Governance Achievements

• Improved corporate governance structure, clarifying responsibilities and boundaries of governance subjects.
• Enhanced internal control and risk management, improved internal audit system, reinforced anti-corruption governance, and intensified anti-money laundering management.
• Achieved 100% customer complaint handling rate and 99.99% customer satisfaction.

Climate Goals & Targets

Environmental Challenges

• Managing risks associated with industries with overcapacity.
• Maintaining stable operations amidst economic transformation.

Mitigation Strategies

• Implemented differentiated credit policies to strictly control loans to overcapacity industries.
• Improved risk management systems for credit, operational, compliance, and IT risks.

Supply Chain Management

Responsible Procurement

• Established supplier bases and formulated an access standard for suppliers, including environmental indicators.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: ESG Reporting Guide (Hong Kong Stock Exchange), GRI G4, GB/T 36000-2015, GB/T 36001-2015, GB/T 36002-2015, ISO 26000, AA1000

Sustainable Products & Innovation

• Green credit products

Awards & Recognition

• Ranked 199th in the Top 1,000 World Banks
• 2017 Outstanding City Commercial Bank
• Top Ten City Commercial Banks of the Year
• AAA Corporate Credit Rating

Environmental Metrics

ESG Focus Areas

• Green Finance
• Supporting the Real Economy
• Public Well-being
• Employee Development
• Community Investment
• Environmental Protection
• Risk Management
• Corporate Governance

Environmental Achievements

• Greenhouse gas emissions decreased by 6.53% year-on-year.
• Overall energy consumption decreased by 9.73% year-on-year.
• Water resources consumption decreased by 5.52% year-on-year.
• RMB 8.136 billion worth of loans granted to energy conservation and environmental protection projects.

Social Achievements

• 396,810 inclusive small- and micro-business (SMB) loans granted, a year-on-year increase of 398.75%.
• RMB 7.4101 million donated to charity, with 2,435 employees participating in volunteer service.
• 2,380 financial knowledge publicity and education activities organized.
• Launched its first “Intelligent Light Outlet” in June 2019.
• 100% of business outlets equipped with intelligent devices.
• 76,400 person-times of employee training, with 74.95 hours of training per capita.

Governance Achievements

• Anti-corruption training activities covered 11,748 person-times.
• Anti-money laundering trainings covered over 4,740 person-times.
• Improved corporate governance structure, including the establishment of various committees under the Board of Directors.
• Complied with the Environmental, Social and Governance Report Guidelines (ESG Report Guidelines).

Climate Goals & Targets

Environmental Challenges

• Maintaining stable operations amid dynamic changes.
• Managing environmental and social risks associated with credit projects.
• Meeting the ever-growing needs of the public for a better life.
• Ensuring effective corruption risk prevention and control.
• Preventing money laundering and terrorist financing.

Mitigation Strategies

• Strengthened risk management system.
• Formulated Green Credit Guidelines and Credit Policy Guidelines.
• Incorporated ESG ideals into development strategy and management.
• Established a sound discipline inspection and supervision system.
• Developed and implemented various anti-money laundering measures.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Openness, fairness and impartiality of procurement practices.
• Assessment of suppliers based on business qualifications and social responsibility.
• Priority given to purchasing energy-saving and environment-friendly products.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of green finance services.

Reporting Standards

Frameworks Used: ESG Reporting Guide (Hong Kong Stock Exchange), GRI Standards

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Ranked 197th among Top 1,000 world banks (The Banker)
• AAA credit rating for three consecutive years
• Ranked among China’s top 500 enterprises and top 500 service companies
• Various awards from Tianjin Enterprise Federation, China Banking Association, etc.

Environmental Metrics

ESG Focus Areas

• Green Finance
• Inclusive Finance
• Risk Management
• Digital Transformation
• Employee Development
• Community Investment

Environmental Achievements

• Green credit balance amounted to RMB16.417 billion, representing an increase of 36.0% year on year
• Green bonds underwritten and invested amounted to RMB8.121 billion
• Launched the first ESG-themed wealth management product
• Issued “Happy Bicycle”-themed credit cards
• Credit balance for clients listed on the significant environmental and social risk list decreased by 25.99% year on year
• Electronic bill replacement rate increased by 9.47 percentage points compared to that of the previous year.

Social Achievements

• 27 branches passed the certification and review under standards for elder-friendly services, 9 branches of which were rated as “Elder-Friendly Service Models”
• Number of training sessions for employees: 1,575 sessions. Employees trained reached 106,700 person-times
• Number of financial knowledge publicity and education activities reached 3.7 thousand and number of publicity materials distributed reached 210 thousand
• Outgoing donations reached RMB7.88 million
• Successfully launched a new generation of decentralized core system

Governance Achievements

• Successfully completing the renewal of the directors, supervisors and the senior management
• Improved the working rules and authorisation management system of the shareholders’ general meeting, the Board of Directors, the Board of Supervisors and the senior management
• Published more than 40 information disclosure documents
• Improved the comprehensive risk management system
• Optimised the compliance risk management process

Climate Goals & Targets

Environmental Challenges

• Climate change risks
• Transition risks (regulatory changes, market shifts)
• Supply chain disruptions (implied)
• Maintaining stability and security of the financial system

Mitigation Strategies

• Improved business continuity management system
• Climate risk stress testing
• Flood prevention measures for branches
• Enriched data center emergency response scenarios
• Strengthened environmental risk management
• Optimised environmental and social risk management
• Monitoring credit for high energy consumption, high pollution, and overcapacity industries
• Improved internal control and compliance management

Supply Chain Management

Supplier Audits: 176 suppliers qualified in accordance with our regulations

Responsible Procurement

• Priority should be given to energy-saving products procurement under the same conditions

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather affecting data center and branch operations
• Extreme weather increasing client operating costs and damaging asset value

Transition Risks

• Policy, technology, market, and law changes leading to higher default rates for clients in some industries
• Climate policies increasing operating costs for enterprises

Opportunities

• Investment and financing gap creating business development opportunities
• Green finance enhancing adaptability, competitiveness, and inclusiveness
• Green concepts obtaining more stakeholder support and cooperation opportunities

Reporting Standards

Frameworks Used: GRI Sustainability Reporting Standards, TCFD

Certifications: ISO 27001

Sustainable Products & Innovation

• ESG-themed wealth management product
• Green low-carbon-themed credit cards

Awards & Recognition

• Typical Case of Inclusive Finance Product and Service Innovation of China Banking Association
• 2022 Outstanding Contribution Award for Green Finance of Commercial Bank
• The “Golden Bull Award for Wealth Management Products of Banks (City Commercial Bank)”
• The “Golden Bull Award for Wealth Management Products of Banks”
• 2022 Annual Inter-bank Local Currency Market Influence Award- Core Dealer
• 2022 Annual Inter-bank Local Currency Market Influence Award- Money Market Dealer
• 2022 Annual Inter-bank Local Currency Market Innovation Award – X-Repo
• 2022 Annual Inter-bank Local Currency Market Innovation Award –X-Lending
• 2022 China Bond Index User Comprehensive Evaluation “Innovation Pioneer”