Shinkin Central Bank

No leading practices identified for the financial institution.

It is recommended that the financial institution identifies material sustainability impacts across its value chain using objective criteria and links senior executive remuneration performance criteria to specific sustainability targets. Moreover, a stewardship policy supporting environmental transitions and social best practices should be disclosed, aligning with its sustainability strategy.

While the financial institution has disclosed its membership in certain trade associations focused on sustainability, it should provide a full list, as well as specify actions taken to align lobbying and public policy engagement with its sustainability strategy. While it has measurable targets for ESG investments and loans, it should specify the share devoted to climate solutions, as well as the share devoted to nature-positive solutions. Furthermore, an example of how its offerings support climate adaptation and resilience should also be provided.

A transition plan covering operations, supply chain, and portfolio is also recommended, along with a breakdown of clients by income group and processes to avoid divestment from low-income countries. Their risk assessment process should include ILO fundamental rights at work, with a mitigation process for identified risks. Finally, the institution should identify social risks related to the net zero transition and provide an example of actions taken regarding salient human rights issues from assessment processes 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.