Sustainable Finance

Commitment

 
To manage ESG risks in lending and promote sustainable finance to support the achievement of the Sustainable Development Goals and the goals of the Paris Agreement.
 

Materiality

 
It is deeply concerning that environmental problems and climate change are escalating at present. During 2025, Thailand faced several major floods in various areas and droughts in others, causing considerable damage to businesses, farmers and the general public. In the meantime, progress and clarity are becoming more and more noticeable in Thailand regarding environmental and climate legislation and measures, particularly the draft Climate Change Act and the draft Clean Air Management Act, which will impose additional costs on carbon emitters or air polluters. Regarding international movements, measures such as the European Union Carbon Border Adjustment Mechanism (EU CBAM) and the European Union Deforestation Regulation (EUDR) are set to come into effect in 2027, requiring exporters of related goods to the EU to adapt as soon as possible. Furthermore, Thailand has accelerated its target for zero greenhouse gas emissions to 2050, 15 years earlier than the original target, to encourage all sectors to adapt, enhance competitiveness and create new business opportunities. All these changes present risks for businesses that fail to adapt, but opportunities for those that can adjust properly.

The Bank encourages customers to make a smooth and timely transition to a low-carbon economy, while building resilience to climate change through knowledge support coupled with green loans and transition loans. This is achieved through engagement with customers and external organizations to extend support more broadly and effectively. In addition, we prioritize responsible lending to prevent potential social and environmental impacts from projects or activities we support financially