BDO Unibank has pioneered sustainable lending and access to financial services for the unbanked in the Philippines.
Philippines lender BDO Unibank’s commitment to sustainability has been recognised at the 14th Annual Retail Banker International Asia Trailblazer Awards, where the bank won the Best Advance in Sustainability Practices category.
The lender’s sustainability strategies are anchored on the UN’s 17 Sustainable Development Goals and have led to many achievements including 54 renewable energy projects.
Sustainable finance
In addition, BDO Unibank has embedded sustainability principles throughout its strategy, operations, risk management systems and corporate governance, and has pioneered sustainable finance and financial inclusion for the unbanked and underserved.
BDO Unibank has been a leader in sustainable finance in the Philippines for 12 years, with 54 renewable energy projects that account for almost 30 per cent of the country’s total renewable energy capacity.
The bank issued the first Blue Bond in Southeast Asia for funding water and wastewater management projects along with offshore wind projects at sea. It also issued the first Green Bond in the East Asia and Pacific region, which was earmarked for renewable energy, energy efficiency and green building projects.
Supporting energy transition
In September 2022, BDO Unibank announced its Energy Transition Finance Statement, committing to financing the transition to a low-carbon, environmentally responsible and socially inclusive economy.
In addition, the bank declared its support for the 2015 Paris Accord and the Philippines’ nationally determined contribution of a 70 per cent reduction in and avoidance of greenhouse gas emissions by 2040.
Digital banking innovations
BDO Pay, a payment app launched in March 2021, has attracted non-BDO depositors to open accounts with BDO Unibank and is primarily serving the unbanked sector, including consumers in rural and remote areas. By the end of 2021, the lender had recorded a 33 per cent growth in transactions through BDO Pay and the BDO website, with a total value of more than PHP1.5tn ($27,245bn).
BDO Cash Agad is another product that allows debit and prepaid cardholders to perform banking transactions through point-of-sale (POS) machines deployed to Cash Agad partner agents such as convenience and grocery stores in remote areas.
Committed to change
BDO Unibank recognises the importance of managing the risks of climate change and financing the enormous efforts needed to mitigate and adapt to its impact. As the largest bank in the Philippines, the lender has been using its resources, broad network and sphere of influence to lead the way in sustainable finance best practices for the banking industry.
BDO Unibank’s sustainability practices are commendable and show that banks can take an active role in achieving a sustainable future while providing top-notch products and services to their customers. The bank’s commitment to sustainability in finance has led to its win this year.