Chang Hwa Bank Achieves Top Corporate Governance Certification Twice
Table of Contents
You might want to know
- What measures did Chang Hwa Bank implement to receive such recognition?
- How does the certification impact its sustainability initiatives?
Main Topic
Chang Hwa Bank (2801-TW) has committed to elevating its corporate governance structures and sustainable value. The bank participated in the 2023 assessment conducted by the Chinese Association for Corporate Governance, known as CG6014, where it once again received a "top-notch" certification. This accolade is a testament to the bank's effective governance practices.
An award ceremony was held on October 26 by the Chinese Association for Corporate Governance, where Vice General Manager of the Taiwan Stock Exchange, Zhao Long, presented the certification. The event saw Deng Xiujun, Vice General Manager of Chang Hwa Bank, accept the honor on behalf of the institution.
The "Corporate Governance System Evaluation" by the Chinese Association serves as the only corporation governance assessment conducted by an independent third-party organization. It benchmarks the company’s practices against both domestic and international best practices, employing six key assessment dimensions. Through comprehensive assessments including documentation review and on-site evaluations, the organization digs into the real-world operational status of the companies involved. As of 2023, emphasis has been increased on sustainability and governance topics to align with global standards.
Through participating in these evaluations, Chang Hwa Bank impressively secures the top certification for the second time, excelling in areas such as information transparency and disclosure as well as sustainable development and governance. The bank has established robust mechanisms for information disclosure, disclosing corporate governance information bilingually via annual reports and sustainability reports. Special sections on corporate governance and sustainability are set up on their official website alongside quarterly online corporate briefings. Furthermore, they actively release an ESG Summary to reinforce diverse communication with stakeholders, reflecting its dedication to sustainable operations through transparent information sharing.
Chang Hwa Bank continues to strengthen its sustainable operational resilience by setting sustainability practice codes and policies. They've integrated climate risk into their wider risk management policies, incorporating greenhouse gas audits, disclosures, and verifications as part of climate risk management, thus establishing a complete system for managing climate risks. In line with global trends and national policies, they have set a long-term goal of achieving "net-zero carbon emissions by 2050" and have aligned short-term goals with the Science-Based Targets initiative (SBTi). They actively promote green project loans, including green building loans, sustainability performance-linked loans, and other initiatives to support clients in embracing sustainable environmental practices, advancing ESG development, and fostering sustainability.
Looking at ESG across various dimensions, Chang Hwa Bank has demonstrated excellent sustainable development outcomes. For three consecutive years, it has been ranked in the top 5% in the Corporate Governance Evaluation among listed companies, placed in the top 25% of banks in the Financial Supervisory Commission's second Sustainable Finance Evaluation, and included in global indices such as the Dow Jones Leading Index and the Emerging Markets Component. Additionally, it received an "A" leadership rating in the CDP Climate Change Questionnaire. Moving forward, Chang Hwa Bank remains committed to enhancing its sustainable business strategies, strengthening corporate governance, and leveraging its financial influence to earnestly practice sustainable finance and fulfill corporate social responsibility, building a sustainable future alongside shareholders, customers, and employees.
Key Insights Table
| Aspect | Description |
|---|---|
| Corporate Governance Certification | Achieved top-notch rating for the second time in a row. |
| Sustainability Alignment | Incorporates climate risk management and net-zero carbon goals. |
Afterwards...
As the journey towards excellence in corporate governance and sustainability continues, organizations must focus on integrating cutting-edge technologies and practices. Embracing blockchain for secure and transparent transactions, leveraging AI for proactive risk management, and strengthening regulatory compliance mechanisms can significantly contribute to more robust governance structures. Moreover, aligning with evolving global sustainability standards will ensure organizations remain competitive, impactful, and future-ready in a rapidly changing world.