VEB.RF proposes an alternative to Western ESG

In a state corporation VEB.RF proposed an alternative to Western ESG-principles – five “C”. This was stated by the Chairman VEB.RF Igor Shuvalov at the forum of the Agency for Strategic Initiatives (ASI) “Strong Ideas for the New Times”.

“This is a stable strategic development, attention to employees and their families; social programs; environment; native country,” Shuvalov said.

ESG means doing business based on the principles of environmental, social and corporate responsibility. About the beginning of his ESG transformation in VEB.RF was announced back in the summer of 2021.

The corporation intended to create and implement special ESG tools, in particular, “green” loans and bonds. It was also planned to supplement the management model with ESG principles, including stress testing based on ESG factors. In addition, the corporation reported on the work with indicators of sustainable development, the requirements for its customers and the introduction of a “green” office, and the principles of ESG are also planned to be introduced into the procurement process. Then it was specified that the transformation of the corporation would last until the end of 2023.

In the same year about the importance of ESG transformation declared at the Central Bank. Then the regulator published the draft “Guidelines for the Development of the Financial Market” in the country for the period from 2022 to 2024, where it indicated eight priority areas of activity, among them the expansion of the contribution of the financial market to ESG.