Tokyo-based banking group Mitsubishi UFJ Financial Group (MUFG) unveiled a significant commitment to sustainability. The company announced a nearly threefold increase in its 2030 sustainable finance target, alongside the establishment of a new Sustainability Risk Office and a series of policy revisions.

Tripling Down on Sustainable Finance

MUFG’s prior goal aimed for a cumulative total of 35 trillion yen by 2030. In a bold move, they’ve nearly tripled this target to a staggering 100 trillion yen (USD$660 billion). This ambitious revision reflects, according to MUFG, “steady progress and increasing demand for funds.” Their recently released Climate Report highlights this progress, noting the bank is already nearing its previous target with 28 trillion yen achieved by the end of 2023.

New Sustainability Risk Office Established

The newly formed Sustainability Risk Office will directly report to the Group’s Chief Risk Officer. This “second line-of-defense organization” emphasizes MUFG’s commitment to managing sustainability risks, such as climate change, across the entire group.

Broader Sustainability Focus

MUFG isn’t stopping there. They’ve announced a series of revisions and framework updates to further solidify their sustainability focus. Here are some key highlights:

• Environmental Policy: The statement now emphasizes the need to address climate change, natural capital, circular economy, and human rights in an integrated manner.
• Human Rights Policy: The revised policy acknowledges the potential impact of climate change, loss of natural capital, and AI on human rights. Additionally, a new human rights due diligence policy has been established.
• Human Capital Management: Updated policies ensure strong human capital management practices.

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Fulfilling a Purpose

MUFG acknowledges the rapidly changing global landscape and their unique position to make a positive impact. They believe their extensive network and diverse solutions can “facilitate connections” and maximize their ability to contribute to a brighter future. In their own words:

“By seizing this opportunity to achieve further growth and realizing our Purpose of being ‘committed to empowering a brighter future’, we will strive to meet expectations of our stakeholders.“