Krungsri Bank Bank of Ayudhya (Bank of Ayudhya PCL) announces its vision ‘The most sustainable commercial bank in Thailand’, reinforcing its leadership in the sustainability finance sector, expecting ESG loans granted to the sustainability sector will reach 100 billion baht within year 2030
Mr. Poonsit Wongtawatchai Executive Vice President Environment, Social and Governance Development Division for Sustainability Bank of Ayudhya Public Company Limited revealed that over the past several years The social sector has continually witnessed Krungsri’s determination to operate responsibly to achieve its environmental, social and governance (ESG) commitments.
In 2018, Krungsri started the Krungsri Zero Waste project to reduce the amount of waste going to landfills and reduce greenhouse gas emissions. Sustainability of the banking sector, including ESG bond underwriting
In 2021, Krungsri has placed a key pin for commercial banks that take a stand for sustainability. by announcing the Krungsri Carbon Neutrality Vision with a clear and actionable roadmap to accelerate carbon reduction With a plan to reduce carbon emissions in the bank’s operations by 2030 and support customers to transition to low-carbon investments and business operations. and reduce carbon emissions from all financial services to be completed by 2050.
And in 2022, Krungsri’s Race to Net Zero operation was born on the vision of a more digital transformation of the organization. In addition, it was built on by setting a goal to reduce RDF (Refuse-Derived Fuel) waste to zero by the end of the year. this and will expand this concept to a wider audience by joining forces with various corporate partners In the RDF waste reduction campaign in 2023
Target ESG loan to reach 100 billion in 8 years
Mr. Poonsit revealed that over the past few years, sustainability bonds or ESG bonds consist of Social bonds green bond And bonds for sustainability increased. Thailand first issued this type of instrument in 2018, which was around 10 billion baht in the first year, while in 2021 the total amount grew to almost 60 billion baht.
As for Krungsri’s ESG loan, from the business loan side, the current clean energy lending is at 10 billion baht, 2% of the business loan portfolio. Krungsri’s vision for 2030, or the next 8 years, wants to grow loans related to sustainable operations. 50,000-100,000 million baht or grow to 10-15% of the business loan portfolio
