CIB has emerged as one of the first domestic partners to adopt the International Sustainability Standards Board (ISSB) “Partnership for Early Awareness of Sustainability-Disclosure Today.” The bank’s MSCI ESG rating was upgraded from A to AA, making it the only bank in China to attain the highest rating in the domestic banking industry for five consecutive years. It also received the highest score in the S&P Global Corporate Sustainability Assessment (CSA) among its domestic counterparts…
In recent years, ESG has emerged as the “weathervane” and “reference system” for high-quality, sustainable corporate development. CIB deeply embodies the political and people-oriented nature of financial work, innovatively implementing an ESG model that integrates “benefit with righteousness.” The bank actively seeks a path that balances Chinese characteristics and international standards. CIB is boldly pioneering the practice of sustainable development with Chinese characteristics, leveraging its strength in the creation of a powerful financial nation.
Exploring Localized ESG Paths
Promoting the “Chinese Experience” Globally
Robust and effective corporate governance is the foundation of ESG management and the fundamental guarantee for the sustainable development of commercial banks. CIB has taken the lead in the industry by adopting a corporate governance philosophy centered on sustainable development and proactively exploring a localized “roadmap” for ESG at the governance level.
In recent years, CIB has continuously optimized its top-level design by integrating ESG concepts into strategic management, incorporating them into the group’s development strategic planning, and comprehensively promoting the construction of the ESG management system. The bank has consistently enhanced its internal governance capabilities, officially renaming the “Strategic Committee” of the Board of Directors to the “Strategic and ESG Committee” in 2022, formulating the ESG Policy, and explicitly assigning ultimate responsibility for ESG management to the Board. The chairman leads the ESG Working Group, and CIB has established the industry’s first ESG Management Center, building an industry-leading ESG decision-making and management mechanism. The bank has also developed annual ESG management system construction work points, fully integrating ESG into the company’s strategy, major decisions, daily operations, and employee behavior, ensuring that ESG principles are deeply rooted and thrive throughout the bank.
CIB is also actively integrating into the high-level financial opening-up and supporting the construction of the “Belt and Road” initiative while simultaneously promoting the “localization” of ESG. CIB leverages its leading ESG strengths to develop distinctive service capabilities, assisting Chinese enterprises in “going global” and effectively conveying the Chinese ESG narrative. In April of this year, CIB, in partnership with Zhejiang University International Business School, Cambridge Judge Business School, and Honor Device Co., Ltd., launched a global consulting cooperation project. The project, based on a model of cooperation between banks, schools, and enterprises, focuses on the pain points and challenges Chinese enterprises face in their efforts to “going global” amid the EU's green transition. It aims to offer integrated “financial + non-financial” services at various stages of enterprise transformation. The goal is to support companies in establishing ESG management frameworks that adhere to both international and domestic standards, thereby enhancing the international competitiveness and global influence of national brands.
Advancing into the Main Battleground of Financial Services
“Driving and Empowering” the Development of New Productive Forces
This year, “accelerating the development of new productive forces” was included in the government work report for the first time and listed as the top priority among the ten major tasks for 2024.
CIB has always adhered to its fundamental purpose of serving the real economy, placing a high emphasis on supporting the development of new productive forces. The bank optimizes its financial supply structure, focusing on promoting the transformation of traditional industries and the growth of emerging industries to help build a modern industrial system based on advanced manufacturing. By the end of 2023, CIB’s loan balance to the manufacturing industry had reached 728.257 billion RMB, marking a 24.43% increase from the end of the previous year. The proportion of loans to strategic emerging industries within corporate loans increased by 6.22 percentage points, reaching 12.84%.
Technological innovation is the core element in developing new productive forces. CIB aligns with national industrial layouts and regional sci-tech resource endowments to actively build a techfin service system that supports technological innovation. The bank has introduced an innovative “technology flow” credit control model and continuously improves an “online + offline,” “commercial bank + investment bank,” “financial + non-financial” comprehensive, multi-faceted service plan. CIB promotes a virtuous cycle of “technology-industry-finance,” by focusing on the major aspects of techfin. By the end of 2023, CIB had 159,600 techfin clients, an increase of 30.61% from the beginning of the year, and a techfin loan balance of 827 billion RMB, an increase of 27.84% from the beginning of the year.
New productive forces inherently represent green productivity. CIB focuses on “pollution control, carbon reduction, greening, and growth,” effectively integrating green finance with transition finance. The bank coordinates support for the green transformation and upgrading of traditional industries, as well as the development and expansion of emerging green industries. It continuously enhances the carbon finance service system, and contributes to the establishment of a green, low-carbon circular economy. By the end of 2023, CIB had provided green financing with a balance of 1.89 trillion RMB, marking an increase of 16.14% from the end of the previous year. The balance of green loans was 809.019 billion RMB, an increase of 26.99% from the beginning of the year. The supported green projects are projected to save 9.52 million tons of standard coal, reduce carbon dioxide emissions by 22.92 million tons, and save 10.55 million tons of water annually.
According to reports, to help achieve China’s “dual carbon” goals, CIB has become the first in the Chinese banking industry to adopt the United Nations Framework Convention on Climate Change’s “Immediate Climate Neutrality Implementation” initiative. CIB has established its own carbon neutrality goals and roadmap, focusing on green office practices, green travel, green events, green consumption, and green construction. These initiatives are designed to promote green operations and offer valuable, replicable insights for the banking industry to achieve carbon peaking and carbon neutrality in their operations.
Upholding the Essence of Finance for the People
Striving to Be a People-Centered, Warm-Hearted Bank
Revitalizing rural areas is crucial for industrial prosperity. In August 2023, CIB established the Financial Delegate Work System, assigning financial delegates to serve as financial advisors to governments and enterprises. This initiative bridges the gap between financial institutions and governments, enterprises, rural areas, and the general public, with the goal of addressing the “last mile” in financial support for rural industrial revitalization. To date, CIB has appointed over 900 financial delegates.
Leveraging digital technology, CIB has innovatively implemented “IoT, blockchain, and AI technologies” to develop a “Biological Asset Digitization Supervision Platform.” This platform enhances the credibility and monitoring of living biological assets, overcoming previous challenges in livestock financing. Additionally, CIB has adopted a satellite remote sensing system to create crop planting profiles, offering technological support for precise credit allocation in the agricultural sector. These efforts channel financial resources into rural areas, broaden modern financial services, and contribute to common prosperity. By the end of 2023, CIB’s agricultural-related loan balance reached 664.76 billion RMB, marking a 21.59% increase since the beginning of the year.
Digital technology has also opened new avenues for inclusive finance. In recent years, CIB has accelerated its digital transformation, integrating inclusive finance with digital finance. CIB has achieved considerable progress by connecting various scenarios, improving product services, and developing a unique digital, inclusive finance service model. On one hand, CIB focuses on making loans “accessible” and “manageable” through the development and operation of its “CIB Inclusive Finance” open service platform. This platform utilizes technological innovation and data empowerment to offer comprehensive “financial + non-financial” services centered on financing for small and micro enterprises. Currently, the CIB Inclusive Finance platform has 24,900 registered users, meeting financing needs totaling 301.5 billion RMB. On the other hand, CIB works to “encourage” and “facilitate” loans by establishing specific assessment indicators for inclusive finance, strengthening the dedicated review and approval teams, implementing an accountability exemption mechanism, and providing special pricing subsidies for inclusive loans. These measures consistently drive internal motivation, expanding the coverage, accessibility, and satisfaction of financial services. By the end of 2023, CIB’s inclusive small and micro loan balance had increased to 500.965 billion RMB, a 23.95% increase from the end of the previous year.
Financial consumer protection is the centralized embodiment of the political and people-oriented nature of financial work. CIB has consistently upheld the principle of serving the public through finance, actively implementing special actions to address consumer protection complaints, and effectively safeguarding the legitimate rights and interests of financial consumers. For three consecutive years, CIB has received an A rating in the consumer protection evaluation conducted by the People’s Bank of China.
At the same time, CIB is dedicated to making financial services more accessible, convenient and beneficial to the public, ensuring that financial services are delivered with warmth. On one hand, CIB is actively optimizing its network layout, accelerating age-friendly transformations, establishing 287 smart branches, and establishing 2,085 “CIB Public Welfare” service stations to better meet community needs and serve as a trusted ally to the people. On the other hand, CIB continues to improve its comprehensive charitable system, which encompasses regular donations and disaster relief efforts, forming a triad of "supporting the needy," "funding education," and "disaster relief." CIB has made significant contributions to targeted poverty alleviation, rural revitalization, and the promotion of common prosperity, with donations exceeding 650 million RMB over the past decade. Additionally, the CIB Charitable Foundation was established, further embedding the concept of financial benevolence into people's hearts.