Hua Xia Bank

The financial institution discloses the amount and/or share (in monetary terms) of its provision of products, services and capital linked to its priority sectors and areas representing their highest negative impact on nature. The financial institution discloses the amount and/or share (in monetary terms) products, services and capital provided to small-and medium-sized enterprises. The financial institution discloses its operation by country (e.g. by number of employees or revenue).

The institution has a publicly available policy statement committing to respect specific workers’ rights but could reference all ILO fundamental rights at work. It has the opportunity to disclose how it determines a living wage in its operational regions and to publish a policy statement prohibiting bribery and corruption, including relevant clauses in contracts. There is potential to transparently identify and prioritise material sustainability impacts across its value chain based on objective criteria. It is recommended that performance criteria for senior executive remuneration be linked to specific sustainability targets.

While the institution mentions nature protection and restoration, it could disclose a strategy for priority sectors. Recommendations include monitoring scope 3 categories, detailing the methodology for footprint calculations, and establishing a transition plan for operations, supply chain, and portfolio. It should also ensure that scope 1-3 emissions reduce in line with interim targets and provide a breakdown of clients by income group.

Additionally, it is advised to disclose processes to avoid divestment from low-income countries due to sustainability strategies, include risks associated with ILO rights in its risk assessment, and mitigate identified risks. The institution should identify social risks related to the net zero transition and provide examples of conclusions and actions taken regarding salient human rights issues from assessments in the last three years.

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.