Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change

Environmental Achievements

• Signed a loan agreement in project financing amounting to up to approximately USD281 million with AMUNET WIND POWER COMPANY S.A.E. (AMUNET) of Egypt for an onshore wind farm project.
• Concluded a loan agreement amounting to up to USD30 million with PT Pertamina (Persero) (Pertamina), Indonesia’s state-owned oil company, for renewable energy projects.
• Signed a loan agreement amounting to up to USD980 million (JBIC portion) with CSN Mineração S.A. (CM) of Brazil to finance a new pellet feed production plant.

Social Achievements

• Not disclosed

Governance Achievements

• Established the Sustainability Advisory Committee, Sustainability Committee, and Sustainability Management Department in June 2022.
• Decided on the climate risk management policy in 2023.

Climate Goals & Targets

Environmental Challenges

• Transition risks (increasing credit costs due to deterioration in borrower's business performance from declining revenue and increasing carbon-related burdens),
• Physical risks (increasing credit costs due to deterioration in borrower’s business performance and collateral impairment due to extreme weather or long-term climate change),
• Data limitations in obtaining necessary data from the NGFS’s scenarios for certain regions and sectors.

Mitigation Strategies

• Implementing scenario analysis of transition and physical risks using the NGFS’s climate scenarios.
• Supplementing data with estimations from climate scenarios issued by international organizations, industry reports, and the Technology Roadmap for Transition Finance by the Ministry of Economy, Trade and Industry (METI).
• Discontinued financing of unabated international thermal coal power generation projects.
• Conducting dialogues and engagements with host countries’ governments and borrowers, providing support through green finance and transition finance.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Coastal floods, river floods, storms, droughts, wildfires, sea level rises, temperature and sea level rises

Transition Risks

• Increasing credit costs due to deterioration in borrower’s business performance

Opportunities

• Financing green energy projects, business and technological transformation for decarbonization, innovation in new technologies

Reporting Standards

Frameworks Used: TCFD

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Climate Change
• Biodiversity
• Circular Economy
• Human Rights
• Social Issues
• Gender Equality

Environmental Achievements

• First among policy-based financial institutions of OECD member countries to make a disclosure based on the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD)
• Released a human rights policy
• Launched the Global Investment Enhancement Facility in July 2022 to support Japanese companies' efforts in global environmental protection, including decarbonization, supply chain resilience, infrastructure development, and new overseas markets.
• Provided financing for various renewable energy projects including offshore wind farms (France, Taiwan), onshore wind farms (Egypt), solar power (India, Benin), waste-to-energy (India), and hydrogen utilization projects.

Social Achievements

• Established the Sustainability Management Department, Sustainability Advisory Committee, and Sustainability Committee to strengthen sustainability governance and management systems.
• Provided a loan for a business manufacturing and selling medical devices in Vietnam.
• Supported a Japanese company's participation in selling and marketing pharmaceuticals and medical devices in Asia.
• Promoting projects that contribute to improving local health and hygiene standards.
• Investing in the Japan ASEAN Women Empowerment Fund (JAWEF) to support female entrepreneurs in ASEAN and other Asian countries.
• Achieving diversity and inclusion as outlined in the Fourth Medium-term Business Plan (FY2021-FY2023).

Governance Achievements

• Centralized sustainability-related information, speeding up internal and external information dissemination and discussions.

Climate Goals & Targets

Environmental Challenges

• Raising awareness and providing information on biodiversity, natural capital (water), and the circular economy.
• Difficulty in quantifying biodiversity and circular economy initiatives.
• Challenges in communication and coordination for waste-to-energy projects in India due to the pandemic and the need to collect information from multiple project operators.
• Lack of license for direct financing in France for offshore wind farm projects.

Mitigation Strategies

• Continuous efforts to raise awareness and provide information across departments.
• Direct negotiations and repeated visits to India to overcome communication challenges.
• Demonstrating the ability to quickly structure projects to gain understanding from stakeholders in France.

Supply Chain Management

Climate-Related Risks & Opportunities

Opportunities

• Development of renewable energy projects

Reporting Standards

Frameworks Used: TCFD

UN Sustainable Development Goals

• SDG 7 (Affordable and Clean Energy)
• SDG 13 (Climate Action)
• SDG 8 (Decent Work and Economic Growth)
• SDG 3 (Good Health and Well-being)
• SDG 5 (Gender Equality)

JBIC's initiatives contribute to these SDGs through financing renewable energy projects, promoting gender equality, and supporting healthcare access.

Sustainable Products & Innovation

• Rice Resin biomass plastic