Policy for Specific Sectors

Policy for Specific Sectors

The Concordia Financial Group has a Sector Policy to ensure that loans and other financing are carefully judged to reduce or avoid the environmental and social impacts of investments and loans that are likely to contribute to negative environmental and social impacts.

Coal-fired power generation business
We will not, in principle, engage in new investments in or loans for coal-fired power generation projects that are likely to have a negative impact on the environment. However, when considering exceptional measures, we will carefully consider each project’s background and characteristics, such as power generation efficiency and performance, impact on the environment, and impact on local communities, with reference to international guidelines etc.
Cluster bomb manufacturing business
New investments in and loans to companies that manufacture cluster munitions are prohibited, regardless of the use of the funds.
Palm oil plantation development business
From the perspectives of conservation of forest resources and biodiversity and protection of human rights, we prohibit new investments and loans for those developments of palm oil plantations that may involve human rights violations such as illegal logging and child labor. In addition, investments and loans for palm oil plantation development will be made with careful attention to the status of certification by the RSPO*1, the international certification for sustainable palm oil, as well as consideration for local communities and the environment.
Deforestation projects
We make new investments and loans for forest harvesting projects with great care, taking into account whether they have received international certifications (FSC*2, PEFC*3etc.) and the consideration given to local communities and the environment.
  • *1
    RSPO (Roundtable on Sustainable Palm Oil): An organization that develops globally trusted certification standards to promote sustainable palm oil production and use
  • *2
    FSC (Forest Stewardship Council): A non-profit organization that operates an international forest certification system based on the principle of appropriate, socially beneficial, and economically sustainable forest management from the perspective of environmental protection
  • *3
    PEFC (Forest Certification Program): An international umbrella organization that promotes examination of forest certification systems that have been individually developed in each country based on the Intergovernmental Process for Sustainable Forest Management, which covers 85% of the world’s forests, and that promotes mutual recognition of these systems