The Mitsubishi UFJ Financial Group (MUFG) has tripled its 2030 sustainable finance goal to 100 trillion yen.
The bank has also established a Sustainability Risk Office (SRO) to manage sustainability risks, including climate change. The SRO will directly report to the Group’s Chief Risk Officer, the group said in a statement.
MUFG has revised its sustainability policies, integrating climate change, natural capital, circular economy, and human rights into its environmental statement. It has also revised its human rights policy to consider climate change, loss of natural capital, and AI.
It must be noted that MUFG has released its Medium-term Business Plan (MTBP) for three years. It outlined its commitment to social and environmental progress as a key pillar in sustainable banking. The bank aims to integrate these efforts into its management strategy.
MUFG set a 2019 sustainable finance goal of 20 trillion yen, covering loans, investments, underwriting, and financial advisory services, between 2019 and 2030. The bank revised its goal, marking the second revision since its initial increase to 35 trillion yen in 2021.
MUFG’s Climate Report outlines a goal of 100 trillion yen by 2030, including 50 trillion for environmental issues, driven by steady progress and increasing funding demand. The Climate Report indicates that MUFG is nearly reaching its former target, with 28 trillion dollars towards its goal by the end of 2023.
In a statement, the bank said, “MUFG has prioritized issues in our sustainability management in the past to achieve a sustainable society and environment. .. We have revised these priority issues to take into account societal expectations, environmental changes, and the importance of the issues to our company.”
“In this era when social and economic structures are dramatically changing at a global scale, we believe that MUFG’s ability to facilitate connections, leveraging its extensive network and diverse solutions, can be maximized. By seizing this opportunity to achieve further growth and realizing our Purpose of being “committed to empowering a brighter future”, we will strive to meet the expectations of our stakeholders,” it said in the statement.