Strengthening ESG Management through NongHyup Financial's Accession to International Carbon Neutrality Agreements

Simultaneous Membership in International Agreements PCAF, SBTi, CDP, and NZBA

[Asia Economy Reporter Sim Nayoung] NH Nonghyup Financial announced on the 28th that it has completed joining the international agreements PCAF, SBTi, CDP, and NZBA to achieve carbon neutrality and establish global standards for ESG management.

This reflects the intention to lead the achievement of carbon neutrality, the top agenda of the international community, through the "role of finance," and the company joined the four agreements simultaneously for systematic response and sincere implementation of climate risk.

Nonghyup Financial is promoting systematic and phased membership in international agreements under the governance system of the "Social Value and Green Finance Committee" within the board of directors, the highest ESG decision-making body, and the holding company chairman-led consultative council.

Accordingly, after declaring support for TCFD last year, Nonghyup Financial measured internal carbon emissions, established reduction targets, and published a report containing the status and plans for implementing recommendations. Especially earlier this year, at the 10th anniversary ceremony of Nonghyup Financial, it accelerated ESG management by proclaiming the "2050 Carbon Neutrality Achievement."

Building on this international agreement membership, Nonghyup Financial plans to enhance the completeness of the ongoing company-wide TCFD implementation advancement (measuring carbon emissions of asset portfolios, setting reduction targets, establishing carbon neutrality achievement strategies, and building climate risk management systems), and publish and disclose a report containing progress and plans by the end of the year. Additionally, leveraging its strengths, Nonghyup Financial intends to actively practice differentiated green finance such as ESG product development and expansion of eco-friendly investments.

Chairman Son Byunghwan emphasized, "Climate risk management is the central axis of ESG management," adding, "Joining international agreements is not the goal itself, but the implementation of the requirements demanded by each initiative is more important. Accordingly, Nonghyup Financial will continuously pursue practical implementation and transparent disclosure to achieve carbon neutrality."

For reference, PCAF is the only global consortium providing methodologies for measuring carbon emissions, SBTi is an international initiative that supports and verifies companies' carbon emission reduction target setting. CDP is a global project that requires major global companies to disclose carbon emission information and climate change response strategies, publishes analytical reports, and makes them available to investors and stakeholders. NZBA is a leadership group among banks supporting the establishment and disclosure of decarbonization strategies aiming for "Net-Zero" by 2050.

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