Interaction with sensitive sectors of the economy

UKRSIBBANK, as part of the international BNP Paribas Group, implements 10 sectoral policies that regulate the bank's financial and investment activities, aimed at sustainable business development and emphasizing the desire to have a positive impact on society and the environment.

Interaction with sensitive sectors of the economy

Having acknowledged the right of each country to protect its interests and national security, the Group is aware of possible certain environmental, social and corporate risks.

BNP Paribas Annual Report 2019 Engaging with our clients for a better future
BNP Paribas position regarding the products and activities with the greatest risk of impact on public health and safety

Defense and Security

Recognizing the right of each country to protect its interests and national security, the Group is aware of possible certain environmental, social and corporate risks, including the status of certain types of weapons, their potential use, as well as the risk of corruption in this area.

Defense and Security Policy

Palm Oil

Palm oil related activities provide a source of livelihood for millions of people in developing countries. However, palm oil plantations negatively affect local communities, causing climate and ecosystem changes.

Palm Oil Policy

Wood Pulp

Wood is a major source of income supporting the standard of living of millions of people in developed and developing countries. However, given the growing demand for cellulosic products in the next decade, the further development of the industry will have a significant impact on the environment of our planet.

Wood Pulp Policy

Nuclear Energy

Countries that have decided to develop the nuclear industry note the positive impact of nuclear energy on economic development, energy security and reduction of greenhouse gas emissions. By publishing this policy, BNP Paribas aims to ensure that the projects the Group helps to finance comply with all monitoring principles and accordingly influence the reduction of the environmental and social consequences of nuclear energy.

Nuclear Energy Policy

Coal-fired power generation

Since 2011, BNP Paribas has consistently improved the criteria for financing coal-related activities, especially for the production of electricity using coal. Since 2017, BNP Paribas has not financed any new coal-fired power plant projects, nor has it advised on the purchase or sale of such assets in any country in the world. In 2019, the bank specified the deadlines after which the Group’s electricity-generating customers will no longer be able to use coal: 2030 for the European Union and 2040 for the rest of the countries.

Coal-fired power generation Policy

Agriculture

Representing 6% of global GDP and providing 30% of the world’s jobs, agriculture is a key sector of the global economy. However, without proper management, the development of this sector can cause many negative effects for local communities, ecosystems and climate change.

Agriculture Policy

Mining Industry

Mining can provide raw materials for most sectors of the economy. In many countries, it accounts for a large share of the domestic product. However, all of this must be assessed alongside the environmental, social and governance risks associated with extractive industries.

Mining Industry Policy

Tobacco industry

The group announced the cessation of lending and investment activities for companies related to tobacco production (manufacturers, wholesalers and traders whose income is mainly provided by this activity).

The Position of the Group Regarding the Tobacco Sector

Unconventional Gas and Oil

By signing the global Paris Agreement in December 2015, the Group as a long-term partner of the energy sector joined the international 2 Degree Investing Initiative. Accordingly, the Group, and therefore the Bank, strengthens support for alternative energy and announces a new global lending policy for mining, production and transportation of unconventional hydrocarbons.

Unconventional Gas and Oil Policy

Ocean Protection

The ocean is critically important for our planet, as it accounts for 70% of its total surface. The ocean is a source of extraordinary and valuable biodiversity for the balance of life on the Earth. Finally, the ocean is a resource and a vector of the globalized economy, creating direct and indirect jobs, including through its role for science and the development of new technologies. The state of the ocean is rapidly deteriorating.

In this context, BNP Paribas aims to take an active part in the preservation of the ocean and its resources and undertakes to responsibly finance activities that may affect the state of the ocean.

The Group’s Position on Ocean Protection