Sustainability Approach and Promotion Framework

Basic Stance

Because the Japan Post Bank operates its business throughout Japan based on financial infrastructure that includes directly managed branches, the nationwide post office network, and ATMs, we are highly aware that our activities will contribute to the solutions for the problems faced by society.

With our Medium-term Management Plan beginning in FY2022/3, we determined to aim for realizing both corporate value enhancement and solutions for issues facing society, such as the achievement of SDGs, through implementing our mission based on the Japan Post Group and Japan Post Bank management philosophy.

Based on this basic approach, Japan Post Bank has established the Basic Sustainability Policy after discussions at the Management Committee and the Board of Directors. The policy stipulates that the bank will promote sustainability as a top management priority.

Basic Sustainability Policy

The Bank positions the promotion of sustainability as a top management priority and aims to achieve both the creation of sustainable social value and enhancement of corporate value over the medium to long term by addressing materiality in its business activities as follows:

(1)

The Bank will work to develop and provide “safe and secure” financial services that can be used by anyone and everyone throughout Japan.

(2)

As a community-based financial institution, the Bank will contribute to the development of the regional economies and society.

(3)

To protect nature and the environment and pass them on to future generations, the Bank will engage in environmentally friendly activities and work to resolve environmental issues.

(4)

The Bank will conduct its business activities in a manner that respects human rights and will ensure a work environment where employees can work in a healthy and safe manner and where diverse personalities and work styles are respected. In addition, the Bank will strive to develop human resources who can think and act on their own, and to improve their work-life balance and job satisfaction.

Basic Sustainability Policy（full text）（PDF/307KB）

Related information

Priority Issues (Materiality)

Sustainability Promotion Framework

Matters related to the promotion of sustainability are discussed by the Sustainability Committee, and discussed or reported to the Management Committee and the Board of Directors in a timely and appropriate manner.

Persons responsible for the promotion of sustainability (including climate change response)

The President and Representative Executive Officer, who serves as the chairman of the Executive Committee and the Board of Directors and presides over the Bank's operations, is responsible for the promotion of sustainability including the Bank's response to climate change. The Executive in Charge of Sustainability, who serves as the Sustainability Committee Chair, attends meetings of the Executive Committee and the Board of Directors and reports on and raises matters for discussion regarding the status of promotion.

◎:

Chairman, Committee Chair

Note:

The Executive in Charge of Sustainability is not a member of the Board of Directors but reports regularly to the Board of Directors on the status of the Bank’s promotion of sustainability.

Main sustainability agenda items (from FY2021/3 onward) to be referred to the Board of Directors

• Selection of Priority Issues (Materiality)
• Setting targets for reducing CO₂ emissions
• Setting targets for the balance of ESG-themed investments
• Complying with the TCFD Recommendations (Policy and Status of Initiatives)
• Formulation of the Basic Sustainability Policy
• Raising targets for the balance of ESG-themed investments
• Selection of top risks from climate change risks and other sustainability-related risks
• Setting interim targets for reducing CO2 emissions（finance Portfolio）
• Review of CO2 emissions (in-house) interim

Addressing Sustainability Risks

In recent years, natural disasters have become a risk that threatens corporate activities, and the negative aspects of corporate activities, such as the destruction of nature and human rights abuses in the supply chain, have become apparent and have worsened the reputation of the company.
Sustainability risks vary widely, but Japan Post Bank recognizes the following risks as emerging risks.

Emerging risks of the Bank (as of April 2023)（PDF/16KB）

The Bank has selected these risks as its top risks within the framework of the Risk Appetite Framework, and takes additional actions as necessary after regularly reviewing the status of controls and other factors.

Related information

Risk Appetite Framework

We also provide ongoing sustainability-related training (risk management training) for senior management* to promote a better understanding of the external environment and improve risk management skills.

*:

Senior management includes internal directors, internal non-executive directors, outside directors and executive officers.

Please refer to the related information for the status of basic risk management training for directors.

Related information

Providing Opportunities for Outside Directors to Collect Information

In addition to senior management, we are continuously implementing initiatives to deepen understanding of sustainability by distributing Sustainability Officer videos and e-learning training programs for all employees.

Implementation method	Contents
Training using e-learning, etc.	Materiality of Priority Issues in the Medium-Term Management Plan
	Current situation surrounding sustainability, progress in ESG management, etc.
Video Message from the Executive Officer in Charge	ESG Management

Ecology Guidebook Utilization

We have compiled an Ecology Guidebook to raise awareness among employees. This is utilized to guide employees to drive in an eco-friendly manner and conserve energy. We are promoting initiatives to reduce the impact of our operations on the environment, such as providing feedback to employees at our headquarters regarding the amount of copy paper they are using per month.