Since 2019 – when the Principles for Responsible Banking (PRB) framework was launched – there has been unprecedented change in the sustainable finance landscape. 

New international agreements have come to the fore, such as the Kunming-Montreal Global Biodiversity Framework, defining new goals and expectations for the banking sector. Science has progressed – furthering our understanding, for example, of climate mechanisms such as tipping points and trajectory consequences. In addition, regulatory environments have also matured – turning good market practices (which emerged under the PRB framework) into state-mandated policies. 

Through it all, the United Nations Environment Programme Finance Initiative (UNEP FI) has sought to keep two important goals in mind for our members, namely:  

  • Showcasing how the PRB supports a responsible banking journey of continuous ambition, progress and evolution
  • Highlighting good practices that inspire and inform leadership from our members, guiding their sustainability path more concretely whilst also taking into account banks’ unique circumstances.

It was in this context that the PRB Implementation Journey was developed.  

Responding to member ambitions, the Implementation Journey expands on the foundations set out in the PRB’s 3 Key Steps, demonstrating Principle by Principle how responsible banking can be defined in practice. It showcases the diverse range of actions banks can take on their progressive and continuous journey. 

For example, the Implementation Journey highlights the elements which help banks develop a credible transition/action plan by leveraging deep dive strategies across key categories such as client engagement, portfolio composition, policies and processes, and advocacy. In this way, PRB signatories can broaden their field of engagement to address specific priority/impact areas through transition and action planning, while simultaneously delivering against their target-level commitments. 

In the publication, each section begins with one of the six Principles, followed by a set of corresponding practices and processes that a responsible bank is expected to undertake in accordance with its operating context. To provide an aspirational direction to banks, elements of leading practice are shown as well. References point to guidance, tools and resources on complementary thematic- and principle-based topics, enabling banks to embrace their individual context (size, region, maturity level, etc.) while also exploring areas of particular interest. Download the report here. 

 

Responsible Banking Blueprint – A roadmap for action on climate, nature and biodiversity, healthy and inclusive economies and human rights. 

The UN Environmental Programme Finance Initiative (UNEP FI) recognises climate, nature and biodiversity, healthy and inclusive economies and human rights as the fundamental priorities that support and accelerate a positive global transition for people and planet. As such these priorities sit at the core of the strategies, policies and practices of leading responsible banks.  

The Responsible Banking Blueprint is aimed at banks seeking holistic support across the priorities as they conduct impact analysis, set initial or extended targets, or prepare for target implementation according to the action or transition plans they have in place.   

As such, the Blueprint captures the cutting edge of responsible banking ambition in seven key areas, namely strategy, internal processes and policies, portfolio composition and financial flows, client engagement, advocacy and partnerships, target-setting and implementation via action and transition plans, as well as transparency and disclosure. 

By aligning their core strategies, business processes, financial portfolios and client engagement practices with the UN Sustainable Development Goals, signatories to the UN Principles for Responsible Banking (PRB) show commitment to supporting and accelerating a positive global transition for people and planet. 

For more information, please download the publication here.