Case study: How Suhyup Bank works with its clients and customers to encourage sustainable practices

Stakeholder identification and consultation

Please describe which stakeholders (or groups/ types of stakeholders) you have identified, consulted, engaged, collaborated or partnered with for the purpose of implementing the Principles and improving your bank’s impacts. This should include a high-level overview of how your bank has identified relevant stakeholders, what issues were addressed/results achieved and how they fed into the action planning process.

Suhyup Bank interacts with a diverse range of stakeholders, including customers, employees, shareholders and investors, suppliers, local communities, and the general public. Suhyup Bank develops customized communication channels for each group to gather a variety of feedback, which is then reported to management. This process helps Suhyup Bank meet stakeholder expectations and integrate their perspectives and needs into its business operations.

[Social Contribution]

As a cooperative bank, Suhyup Bank collaborates with external organizations on ESG initiatives that focus on supporting fishermen, protecting the marine ecosystem, and enhancing community welfare. The bank participates in activities like coastal clean-up through plogging, supports supplies for vulnerable fishermen and local communities, and supports various social programs in education, culture, and sports. Additionally, Suhyup Bank assists communities during natural disasters, demonstrating its commitment to social responsibility.

[ESG Public Finance Agreement]

Since 2021, Suhyup Bank has partnered with public institutions and private companies through the ESG Public Finance Agreement to promote joint efforts in marine conservation and ESG-driven growth. This collaboration involves initiatives such as marine environmental protection, the development of ESG funds, reducing carbon emissions, and ocean clean-up activities. Moving forward, Suhyup Bank aims to expand this cooperative framework to include more organizations, further advancing joint ESG initiatives and promoting sustainable finance practices.

How did Suhyup Bank work with its clients and customers to encourage sustainable practices and enable sustainable economic activities?

In its 2024 PRB Reporting and Self-Assessment Template Suhyup Bank reports that it works with its clients and customers to encourage sustainable practices and enable sustainable economic activities as follows:

[Managing the Digital Prosumer Group]
Suhyup Bank partners with external experts and housewives through its Prosumer Group to foster communication among financial consumers. In 2022, the bank launched the ‘Digital Prosumer Group,’ a new platform that leverages remote culture and digital technology. Suhyup Bank conducts quarterly or ad-hoc meetings to gather insights, and utilizes online surveys and discussions facilitated by a consumer research agency. This approach allows Suhyup Bank to collect feedback from a diverse group of 310 participants, aged 20 to 69, including consumers from Suhyup Bank and other financial institutions. Their input on banking practices, credit, and financial products informs Suhyup Bank’s strategic decisions. Moving forward, Suhyup Bank aims to further enhance customer satisfaction through the digital prosumer group by implementing responsive improvements based on their valuable feedback.

[Integrating Financial Consumer Feedback]
Suhyup Bank employs a structured process to incorporate financial consumer feedback into the development of its financial products. The bank’s product development framework emphasizes aligning offerings with customer preferences and needs. To achieve this, Suhyup Bank has embedded a procedure within its internal regulations to systematically integrate financial consumer suggestions and ideas. In 2022, Suhyup Bank specifically collected input related to ESG products and incorporated these insights into its ESG product development plans.

UN Principles for Responsible Banking: Accelerating a positive global transition for people and the planet

With over 300 signatory banks representing almost half of the global banking industry, the Principles for Responsible Banking are the world’s foremost sustainable banking framework. Through these Principles, the banking community takes action to align core strategies, decision-making, lending and investment with the UN Sustainable Development Goals and international agreements such as the Paris Climate Agreement.

FBRH Principles for Responsible Banking (PRB) Assurance:

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The combination of all the above empowers FBRH to provide first class Principles for Responsible Banking (PRB) assurance services.

References:

This case study is based on published information by Suhyup Bank, located at the link below. For the sake of readability, we did not use brackets or ellipses. However, we made sure that the extra or missing words did not change the report’s meaning. If you would like to quote these written sources from the original please revert to the following link:

https://biz.suhyup-bank.com/ib20/mnu/CBM00970?num=5554&boardGroup=0&boardTable=0

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