KBank earns S&P Global Sustainability Award with Gold Class distinction
KASIKORNBANK (KBank) has risen to the forefront as a world-class Bank of Sustainability after it was awarded the prestigious S&P Global Sustainability Award with Gold Class distinction in recognition of its distinctive performance that has harmoniously integrated environment, social and economic/governance (ESG) aspects into its operations. The Bank has also demonstrated its commitment to developing its work in response to challenges and opportunities balanced across all dimensions.
Ms. Kattiya Indaravijaya, KBank Chief Executive Officer, said that with our belief in the principles of a Bank of Sustainability under good corporate governance, appropriate risk and effective cost management, KBank has focused on a balance in our business operations across all three dimensions, i.e., the economy, society and environment. We are committed to elevating our standards of sustainable operations, as evidenced by our participation in both national and international assessments.
KBank is the first and only Thai bank to be selected for inclusion in the Dow Jones Sustainability Indices (DJSI) for the sixth consecutive year. In the latest development, the Bank has won an S&P Global Sustainability Award, earning the prestigious S&P Global ESG Score with Gold Class distinction – the highest level in the global banking industry. S&P Global has assessed 7,554 leading companies worldwide which are members of the Dow Jones Sustainability Indices (DJSI). Of this number, 71 banks have been selected to be included in the Sustainability Yearbook 2022, with 3 banks earning Gold Class distinction; 14 banks, Silver Class; and 9 banks, Bronze Class.
In considering the award, S&P Global has assessed KBank’s operations in three dimensions, as follows:
In terms of the economy/corporate governance, S&P Global has assessed KBank’s operations, with the weight given to economic operations at 55 percent. The assessment shows that KBank has sound corporate governance operations, plus the best crisis and risk management, as well as anti-financial crime policies and measures compared to related operations of other banks worldwide. Additionally, KBank has created value from the efficient use of numerous resources, including financial data and technologies, while also collaborating with its business partners in various ecosystems with the aim of developing innovations and services to generate sustainable returns and meet the customers’ lifestyle and business needs during both the COVID-19 crisis and ‘new normal’ period in a sustainable manner.
In terms of the society, S&P Global has assessed KBank’s operations, with the weight given to social contributions at 32 percent. The assessment shows that KBank has the best human rights operations, plus management of CSR activity, occupational health and safety, financial inclusion, and disclosure of social data compared to related operations of other banks worldwide. Moreover, KBank has promoted sustainable society by developing platforms for the provision of financial literacy and various skills to meet the lifestyle needs of the new era. Notable endeavors include the launch of Klasssi and AFTERKLASS platforms, and other CSR activities that are intended to maintain and foster cordial relations with communities under the ‘Tham Di Tham Dai’ (Employee Volunteer Hours) project.
In terms of the environment, S&P Global has assessed KBank’s operations, with the weight given to environmental operations at 13 percent. The assessment shows that KBank has the best reporting system for environmental data compared to related operations of other banks globally. Under its environmental operations, KBank has announced its Net Zero Commitment.
Along with this, the Bank has developed its climate change strategies by making necessary adjustments to the Bank’s operations in order to reduce greenhouse gas (GHG) emissions and promote awareness of climate change among customers, businesses and the society as a whole. Such strategies should enable shifts in consumer behaviors, improvement of production processes, reduced energy consumption, and creation of real changes in alignment with this urgent agenda of the global community.
Ms. Kattiya said in closing that with our belief in the principles of a Bank of Sustainability, KBank focuses on elevating our work standards, accounting for the environment, society and governance. This can be achieved through the development of environmentally friendly financial products and services in order to support our customers on their decarbonization journeys, and aid the Thai society in the transition to a net zero economy. Furthermore, the Bank aims to provide retail customers improved access to financial services in order to generate sustainable value for all stakeholders, and pass a sustainable world on to future generations.
