CaixaBank improved its rating in the ESG Sustainalytics 2021 rating index and is positioned as first Spanish bank. Sustainalitycs, a Morningstar company that measures the performance of companies in terms of environmental, social and corporate governance, has improved the CaixaBank score medium to low risk and pushed the financial institution up 11 places in the general ranking to reach the 30th position in the world ranking out of the 406 banks analyzed.
In the 2021 assessment, CaixaBank has 19 points, 3.6 points of improvement compared to the valuation of the same analyst in 2020. At the same time, the entity achieved an overall improvement of 16%.
This improvement is due to the 9.5 point increase in ESG risk management score, until reaching 64.3 points and occupying a solid position in the index. The reason given by the independent firm which promotes this classification is the “adequate implementation of governance policies and controls”. On the other hand, CaixaBank has also increased its risk exposure at some point due to risks related to product governance, data privacy and security, and business ethics.
CaixaBank is a social purpose entity. Thanks to the legacy he has received, he maintains an attitude of service to the company and its customers. Sustainability is one of the pillars of 2019-2021 Strategic Plan of the entity which, in addition, has a Socially Responsible Banking Plan.
Among the main commitments of the bank, the work of financial inclusion stands out, with a large capillarity of the branch network. CaixaBank is the only entity present in 100% of municipalities with more than 10,000 inhabitants and in 94% of those with more than 5,000 inhabitants. It is also the only entity that offers microcredits to people without guarantees or endorsements, through Microbank, to help them boost their personal and professional projects.
On the other hand, it maintains a commitment to financial literacy through multiple initiatives to help people make better decisions in managing their economy. In addition, part of its staff participates in volunteering tasks during social weeks and is one of the most popular Spanish entities in terms of corporate volunteering.
CaixaBank has a Sustainability Committee, report to the management committee, which is responsible for monitoring sustainable development strategy and practices. Indeed, the entity recently received several awards for its policy and good practices. Without going any further, in the Dow Jones Sustainability Index (DJSI) published a few days ago, CaixaBank remains, for the tenth consecutive year, among the most sustainable banks in the world. The entity obtained the highest score (100 points) in the areas of risk management, financial inclusion and social and environmental reporting.
Likewise, CaixaBank is one of the main financial institutions in the fight against climate change, with multiple commitments such as inclusion in the United Nations collective commitment to climate action; the incorporation into the RE100 list, where CaixaBank was the first Spanish organization included in this initiative which aims to increase the demand and supply of clean energy; adherence to Spanish Green Growth Group; compliance with the recommendations of the Climate-Related Financial Reporting Working Group, whose main objective is to increase the measures adopted in response to climate-related financial risks and the quality of the report; to participate in Principles of responsible banking, which are designed to guide banks to strategically align their activities with development and sustainability goals at the international, regional and national levels; as well as the recent incorporation as a founding member of Net zero banking alliance whereby the banking sector commits to achieving net zero emissions by 2050 in line with the 1.5 ° C target, aligned with the Paris Agreement and whose impetus is the key overall objective of the current COP26.
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