Shinhan Card Declares First CDR Management in Domestic Financial Sector... Leading Digital ESG

Reflecting CDR Initiatives in Governance Including Board of Directors
Focusing on Digital-Based Carbon Emission Reduction, Bridging Digital Divide, and Protecting Data Consumers

[Asia Economy Reporter Ki Ha-young] Shinhan Card is the first in the domestic financial sector to embark on Corporate Digital Responsibility (CDR) management. This move aligns with Shinhan Financial Group's ESG (Environmental, Social, Governance) 3.0 declaration and the full-scale launch of the digital economy.

On the 25th, Shinhan Card announced the launch of a company-wide CDR management TFT, led by the Chief Sustainability Officer (CSO) and including heads of key departments. Shinhan Card's CDR management reinterprets digital management issues from an ESG perspective, aiming to contribute to carbon emission reduction through its own data (E), bridge digital and data gaps (S), and enhance governance (G) centered on data consumer sovereignty. The goal is to internalize ESG strategies into Shinhan Card’s key digital business processes.

Through CDR management, Shinhan Card plans to ▲utilize its data to contribute to carbon emission reduction and build a circular economy ▲address digital gaps, spread digital literacy, and foster data-driven ESG startups as part of win-win management ▲establish data governance as a core digital resource, while introducing CDR management ethics charter, digital consumer protection, ethical artificial intelligence (AI) algorithms, and strengthened cybersecurity throughout its management.

Additionally, efforts will be made to systematize CDR management across governance by considering the formation of a CDR Management Committee as a subcommittee within the board of directors.

In particular, in line with Shinhan Financial Group ESG 3.0’s eco-friendly strategy, 'Zero Carbon Drive,' which aims to reduce carbon emissions from financial asset portfolios by 38.6% by 2030, Shinhan Card will focus on developing data solutions for various waste resource circular economies along with introducing a 'Green Index' algorithm that monitors carbon emissions based on its consumer data.

Ahead of the launch of the Financial Consumer Protection Act, Shinhan Card has presented key CDR management keywords such as employee CDR management ethics charter, promotion of fair AI algorithms, and strengthened cybersecurity to protect digital and data consumers.

Strengthening digital literacy education for youth is also a key task in Shinhan Card’s CDR management. The rationale is that cultivating the ability to acquire and utilize data and digital technologies from adolescence will reduce the digital gap and sustain the business ecosystem.

Im Young-jin, CEO of Shinhan Card, said, "We announced CDR management as part of our efforts to reflect Shinhan Financial Group’s ESG strategic directions of 'eco-friendliness,' 'co-prosperity,' and 'trust' across all digital businesses and fulfill our social responsibilities. We will discover and implement differentiated ESG business models unique to Shinhan Card."

This content was produced with the assistance of AI translation services.