China's first equator bank – Industrial Bank (IB) made another innovation in green finance, and took the lead with electronic operation mode. Recently, IB officially launched the industry's first green finance professional support system through independent research and development, which will lay a solid technical foundation for IB to build a green financial group.
It is introduced that green finance professional system is well-functional with strong scalability. Its three functions are: first, business management including attribute recognition of green financial business, environmental benefits measurement, client management, etc.; second, risk management including green financial credit business, Equator Principles review, management after credit, risk monitoring, etc.; third, operation management including appraisal, performance measurement, team management, resource allocation, report statistics and information document management, etc.
“With this system and through client classification management, sand table client tracking, tapping and analysis of business data, and excavation of client demand, we can realize customized service for green finance clients and further enhance efficiency and capacity of our services for green finance clients.” Luo Shiyi, GM of Environment Finance Dept., IB, said.
In recent years, China’s central bank, CBRC and other authorities continue to improve policy system of green finance, and set higher requirements on the development of green finance, for instance, realize client environment and social risk classification management, drew up name lists of clients that break laws and regulations on environmental protection and offer warnings, conduct reviews of environmental and social risks as well as green credit statistics, etc. IB’s green finance professional support system was born at the right moment, effectively satisfying requirements of regulating authorities.
As a pioneer in green finance in China, after a decade’s exploration and practice, IB is transforming from green bank to green finance group progressively and is committed to building a world-class supplier of comprehensive green financial service. At present, it has established a special workforce on green finance at group level, set up green finance professional system, offer systematic support for client management, business management, risk management, report statistics, information management and integrated management, in order to promote collaboration between group businesses and accelerate to realize the goal that the financing balance of green finance at the group level shall exceed RMB 1 trillion.
It is reported that IB takes the lead in the market in terms of professional operation of green finance. In 2009, the bank set up China’s first specialized green finance institution which now boasts a domestically largest green finance team of nearly 200 people, and establishes environmental finance centers in 35 tier-one branches and appoints special green financial product managers in tier-two branches, achieving a relatively improved professional operation system of green finance business.
Data revealed that by the end of November, IB has taken advantage of diversified financing products to accumulatively grant green finance of over RMB one trillion for over 7000 enterprises. At present green financing balance has exceeded RMB 470 billion, accounting for more than 15% in the corporate financing balance(with the same method and scope of statistics), and green finance business has become core brand business and advantageous business.