KfW

KfW has a publicly available policy statement that expects suppliers to uphold ILO core labor rights and has a publicly available policy statement committing to respect human rights. The institution describes the processes it uses to identify specific human rights risks and impacts related to its provision of products, services, and capital, and maintains gender balance at the senior executive level, with representation between 40-60%. Additionally, the institution discloses the monetary amount or share of products, services, and capital provided to small- and medium-sized enterprises, as well as its operations by country, such as the number of employees or revenue. Furthermore, it provides information on the amount or share of products, services, and capital allocated to low-income and lower-middle-income countries.

While material sustainability impacts are identified across the value chain, the process for prioritisation lacks detail. KfW Group has sustainability targets, but there is no evidence of quantifiable targets for all prioritised impacts or their linkage to material assessments. A statement on political contributions exists but is not found in a formal policy document. There is no disclosure of performance criteria for senior executive remuneration tied to sustainability targets, nor a stewardship policy supporting environmental and social transitions. A partial list of trade associations is disclosed, however, it does not address all trade associations. While it states it does not fund certain fossil fuel projects, it does not address all fossil fuels. KfW discloses scope 1-2 emissions but lacks detail on scope 2 emissions and does not disclose financed emissions. Recommendations include monitoring scope 3 emissions, detailing footprint calculation methodology, establishing a transition plan and ensuring emissions reductions align with interim targets. The assessed entity has a publicly available policy statement committing to ILO fundamental rights at work, approved by the highest governance body, but its weak wording undermines this commitment. It expects suppliers to prevent supply chain risks, including bribery and corruption, but it is unclear if supplier relationships will be reviewed or terminated for breaches.

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.