Bank of Communications

The financial institution delegates decision-making and oversight responsibility for its sustainability strategy to the highest governance body. It also discloses the monetary amount and/or share of products, services, and capital allocated to small and medium-sized enterprises.

While Bank of Communications has a material assessment which identifies material sustainability impacts across the value chain, further detail on the process and criteria for prioritisation is needed. It is recommended that performance criteria for senior executive remuneration be linked to specific sustainability targets. The Hong Kong branch has a TCFD report disclosing scope 1 and 2 emissions, but there is no evidence of group-wide emissions reporting.

Recommendations include monitoring scope 3 emissions by category, establishing a transition plan for operations and supply chain, ensuring emissions reductions align with interim targets, and identifying social risks related to the net zero transition whilst providing examples of actions taken on salient human rights issues from recent assessments. Additionally, it should disclose processes to avoid unintended divestment from low-income countries, include ILO rights risks in its risk assessment,

This scorecard refers to information in English which was publicly available by July 15 2024. AuM and Total assets are stated in USD for comparability and have been calculated based on reported local currency values multiplied by applicable IMF currency converter values.