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Sustainability and Responsible Banking
BBVA has a different way of doing banking based on the Purpose of To bring the age of opportunity to everyone guided by solid corporate
values -Customer comes first, We think big and We are one team- with the aim of having a positive impact on the lives of people, companies and society as a whole.
BBVA has a long history of committing to sustainability, which began when it adhered to the United Nations Global Compact in 2002, having played a leading,
standout role in defining a new, more sustainable banking model.
It is a commitment to a responsible and sustainable approach to banking, whereby BBVA
seeks to create long-term value, shared with all stakeholders (customers, employees, shareholders, suppliers and society as a whole), and is reflected in the Banks various different corporate policies and regulations, especially in the
Corporate Social Responsibility Policy (hereinafter CSR), updated in 2020, and in the General Sustainability Policy, also approved by BBVAs Board of Directors in 2020, which defines and sets out the Groups general principles and main
management and control objectives and guidelines for sustainable development, seeking to achieve balanced economic development, social development and environmental protection.
In 2019, BBVA carried out a strategic reflection process to further expand its transformation and adapt to the biggest trends changing the world and the
financial industry. Two of the main trends identified are the fight against climate change and the growing relevance of social inclusion.
BBVA is aware
of the key role that banking plays in this transition toward a more sustainable world through its financial activity, and it has adhered to the Principles for Responsible Banking promoted by the United Nations, the Katowice Commitment and the
Collective Commitment to Climate Action, and is keen to play a central role, as demanded by society.
The creation of the Global Sustainability Office
(GSO) in 2020 has enabled all sustainability initiatives to be promoted and coordinated within the Group, relying on the support of the most senior executive managers of the Banks various areas at a local level.
Sustainability and responsible banking milestones and initiatives
The commitment to sustainable and responsible growth is one of BBVAs main initiatives, reflected in the Groups second strategic priority:
Helping our customers transition toward a sustainable future. One line of action in this regard is the 2025 Pledge, whereby BBVA has committed to mobilizing 100,000m between 2018 and 2025 in green financing, sustainable
infrastructure and agribusiness, financial entrepreneurship and inclusion, and other sustainable mobilization. During 2020, BBVA mobilized 20,306m, representing a cumulative total of 50,155m mobilized since 2018. This means it has
achieved half of its sustainable funding target for the period 20182025 one year ahead of schedule.
BBVA has become one of the most active banks in
terms of issuing green bonds since its framework for issuing SDG-linked bonds was published in 2018. In 2019, the Bank issued a second green bond for1,000m, the largest issue to date by a Eurozone entity, in addition to issuing the first
structured green bond using blockchain technology. In May 2020, BBVA was the first private financial institution in Europe to issue a COVID-19-related social bond and, two months later, the Bank was the first financial institution in the world to
issue contingent-convertible perpetual bonds (CoCos) considered as green bonds worth 1,000m, earmarked to finance eligible green assets in BBVAs portfolio, diversified in assets from various different green sectors (energy
efficiency, renewable energy, sustainable transport, waste management and water management). According to Bloomberg, BBVA is the eighth most active bank (20182020) worldwide, the fourth in Europe and the first in Spain.
Among the financing initiatives promoted during the first quarter of 2021, BBVA has achieved its commitment to offer a sustainable alternative for all its
products in Spain to retail and wholesale customers. BBVA was also the global coordinator and structuring bank for issuing the largest hybrid bond in history. BBVAs leadership in terms of sustainability resulted in the Bank being recognized by
Global Finance magazine as the worlds best investment bank in sustainable financing at the Global Finance Best Investment Bank Awards.
In 2020,
BBVA also achieved all the objectives of its Global Eco-Efficiency Plan 20162020 and its environmental footprint showed very good progress compared to 2019. Notably, BBVA achieved net-zero CO2 emissions in 2020. This objective has been achieved by offsetting the entire carbon footprint through CO2 mitigation projects that also have
a positive impact on the local communities in which they are implemented. This constitutes further progress in the framework of its commitment to align its activity with the Paris Agreement and reduce both direct and indirect emissions. Furthermore,
work is under way on the Global Eco-Efficiency Plan 20212025, which will include new objectives aimed at reducing and neutralizing its environmental footprint.