SINGAPORE, October 31, 2023 /PRNewswire/ — UOB today released its first net zero progress report on its commitment to achieve carbon neutrality by 2050, as it makes positive progress towards achieving the objectives set for its target sectors.
UOB’s net zero commitment includes specific reduction targets for five sectors: energy, automotive, real estate, construction and steel. Based on its 2022 data, the Bank achieved reductions in emissions intensities across all five sectors, with the different metrics lying between seven and 14 percent below the respective net zero emissions target baseline trajectories. .
The Bank’s commitment last year also includes no new financing for upstream oil and gas projects approved for development after 2022. Together, the six sectors make up about 60 percent of its corporate loan portfolio .
Using internationally recognized climate science models, UOB has based its sector targets on regional trajectories that align with global net zero emissions targets. This approach reflects UOB’s firm belief in the need for a just transition in South East Asiato support socio-economic growth and improve access to energy in the region’s diverse economies.
The report details the opportunities and challenges faced in achieving net zero targets across all sectors, and explains how the Bank is scaling up its efforts to engage clients and deepen collaboration with global and regional stakeholders on decarbonization.
Mr Wee Ee Cheong, Deputy Chairman and Managing Director of UOB, said: “At UOB, we support an orderly and just transition to net zero emissions so that economies continue to grow and people’s access to energy continues to improve. We are here to catalyze funding and support our clients on their transition journey. We have also taken steps to transform our business processes and deepen our collaboration with the broader ecosystem of stakeholders, including at all levels of government, economy and society, to drive transformative change.
“Building on our promise to do right by our customers and stakeholders, we want to create a positive impact for individuals, businesses and communities. Together, we can forge a sustainable future for the people and businesses in our home region, ASEAN, and for those who connect. with the region.”
UOB has developed a holistic program to operationalize its net zero commitment. The program focuses on four key areas:
I. Develop sector planswhich include setting goals, measuring progress and seizing opportunities across sectors;
ii. Support customers by providing them with consulting and financing solutions to help them in their decarbonization process;
iii. Integrate net zero into the Bank’s operating model through governance, policies, processes and capacities; And
iv. Foster effective stakeholder engagement and work collaboratively with a broader ecosystem of governments, regulators, industry and trade associations and peers to drive collective action.
UOB extended 38 billion Singapore dollars in sustainable financing at the end of September 2023. The Bank will continue to develop and expand its range of sustainable finance frameworks and solutionsand seek opportunities with customers to support their decarbonization efforts.
For more information on UOB’s net zero commitment and progress, please visit https://www.uobgroup.com/sustainability/sustainable-banking/net-zero-commitment.page.
UOB has also launched a film on the theme of sustainability which demonstrates its belief that people and the planet must progress together in harmony. To watch the film, go to: https://www.uobgroup.com/sustainability/index.page.
About UOB
UOB is a leading bank in Asia. Operating through its head office in Singapore and banking subsidiaries in China, Indonesia, Malaysia, Thailand And VietnamUOB has a global network of approximately 500 offices in 19 countries and territories in Asia Pacific, Europe And North America. Since its founding in 1935, UOB has grown organically and through a series of strategic acquisitions. Today, UOB is rated among the best global banks: Aa1 by Moody’s Investors Service and AA- by S&P Global Ratings and Fitch Ratings.
For almost nine decades, UOB has adopted a customer-centric approach to creating long-term value by staying relevant through entrepreneurship and doing right by its customers. UOB is focused on building ASEAN’s future – for people and businesses within and relating to ASEAN.
The Bank connects businesses to opportunities in the region through its unrivaled regional footprint and leverages data and insights to innovate and create personalized banking experiences and solutions that meet the unique needs and evolving preferences of each customer. UOB is also committed to forging a sustainable future by working with its stakeholders to create positive environmental impact, fostering social inclusion and pursuing economic progress. UOB believes in being a responsible financial services provider and strongly supports art, children’s social development and education, doing what is right for its communities and stakeholders.
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