KB, Hana financial groups release annual ESG reports

A customer visits a KB Kookmin branch in Yeouido, western Seoul, on March 27. [YONHAP]

KB Financial Group and Hana Financial Group on Tuesday released annual sustainability reports to share their achievements in environmental, social and corporate governance (ESG) to achieve carbon neutrality by 2050.

KB Financial Group said it spent 138.7 billion won ($107.8 million) on providing loans for developing renewable energy, building sites for waste burial and purchasing eco-friendly cars. It plans to put in a total of 25 trillion won by 2030.

The firm’s social push centered around loans for vulnerable households and information security for clients, which amounted to 653.3 billion won. KB aims to deepen its social contributions by continuously supporting young people's education and donating in times of national calamities.

The financial group said 15 percent of its employees will come from underprivileged classes and 20 percent of its middle managers will be women by 2027, under the goal “KB Diversity 2027.”

“Sustainable growth is key in opening the door to a low-carbon society from a high-carbon one,” KB Financial Group CEO Yoon Jong-kyoo said in a statement.

The company will continue to add more social value by fulfilling its duties as a financial firm, he added.

KB Financial Group invested a total of 3.55 trillion won in promoting ESG last year, the firm said in its 12th annual report.

Hana Financial Group said it protected its customers from 13,015 financial fraud attempts, securing customer assets worth 181.4 billion won. Its social activities included opening mobile bank branches and installing smart teller machines at convenience stores to boost the accessibility of its banking services. The financial group also funds projects for underprivileged groups and is building 100 childcare centers across the country.

Hana is cutting back carbon emissions from the company and increasing spending on green investments, according to its 2022 Sustainability Report. It plans to funnel through 60 trillion won to that end by 2030.

The firm pledged to expand its diversity and inclusiveness to establish a society that does not leave out any interested party.

“Hana Financial Group will strive [to offer financial services] that grow together and to share happiness through a transparent, responsible ESG management in line with global standards,” said Ham Young-joo, the company’s CEO.

BY SOHN DONG-JOO [sohn.dongjoo@joongang.co.kr]