Jakarta. Bank Shinhan Indonesia has been honored with the 2025 BI Award as the Best Sustainable Finance Driver in the KBMI 1 & 2 Bank category. This prestigious recognition from Bank Indonesia affirms the bank’s significant contribution to supporting the mandates of the central bank while strengthening the banking industry’s commitment to advancing sustainable finance in Indonesia.

Since its inception in 2017, the BI Award has become a key benchmark for financial institutions that consistently drive green economic transformation, ESG adoption, and sustainable finance integration within the national financial system.

This award was granted to Bank Shinhan Indonesia based on a series of strategic achievements recognized as exemplary by Bank Indonesia.

First, Bank Shinhan Indonesia has built a significant and consistently growing sustainable finance portfolio, including financing for the electric vehicle sector, which supports the development of a low-emission transportation ecosystem in Indonesia. Second, the bank demonstrated strong governance and risk management practices, along with advanced ESG compliance, ensuring that sustainable finance is implemented in a measurable and responsible manner. Third, Bank Shinhan Indonesia introduced a range of innovative products, such as the ESG Deposit, which provides customers with green investment options while expanding public access to sustainability-focused financial products.

Mr. Koo Hyunghoe, CEO of Bank Shinhan Indonesia, expressed his appreciation and pride. “On behalf of the entire Bank Shinhan Indonesia team, we extend our gratitude to Bank Indonesia for this trust and recognition. We are proud to contribute to the development of sustainable finance in Indonesia. This award motivates us to further strengthen our commitment to ESG principles, expand green financing, and support the national agenda toward a low-carbon economy,” he said. Mr. Koo added that the bank will continue to pursue innovation and strategic collaboration to accelerate the adoption of sustainable finance across diverse industries.

As a financial institution deeply committed to sustainability, Bank Shinhan Indonesia continues to reinforce its strategic role in accelerating sustainable finance through a series of initiatives aligned with Environmental, Social, and Governance (ESG) principles. The bank embeds sustainability into its core business processes, particularly in credit decision-making and risk management. This approach aligns with the national agenda to fast-track the transition toward a low-carbon economy and supports various sustainability policies, including the Sustainable Development Goals (SDGs), Indonesia Sustainable Finance Taxonomy (TKBI), and the country’s Net Zero Emissions targets.

In implementing sustainable finance, the bank begins its financing process with a detailed identification of the debtor’s economic sector and business activities to ensure alignment with national sustainability priorities. Through this approach, Bank Shinhan Indonesia ensures that every credit facility supports sectors with positive contributions to sustainable development and energy transition.

Following the identification stage, the bank applies a sustainability classification based on indicators such as environmental compliance, environmental certification, carbon-emission reporting, and corporate energy-transition plans. This classification provides a comprehensive view of each debtor’s sustainability position, enabling the bank to make more accurate, responsible, and forward-looking financing decisions.

A deeper assessment is then conducted using the bank’s ESG framework, which evaluates the debtor’s readiness to implement sustainable business practices. This includes assessments of environmental and social risks, potential contributions to emission reduction, and the company’s ability to uphold strong governance standards. The ESG evaluation process is a key pillar ensuring that the bank’s financing delivers not only financial returns but also long-term positive impacts on society and the environment.

As part of its sustainable finance implementation, Bank Shinhan Indonesia offers green incentives and green credit facilities to companies demonstrating strong commitments to emission reduction, energy efficiency, sustainable waste management, and the adoption of green technologies. These incentive schemes are designed to accelerate industry transformation toward green business practices and expand the bank’s green financing portfolio. By strengthening green financial products and improving access to sustainability-oriented financing, the bank aims to foster an inclusive, responsible, and environmentally friendly business ecosystem.

Receiving the 2025 BI Award further solidifies Bank Shinhan Indonesia’s position as one of the most consistent banking institutions in advancing sustainable finance in Indonesia. The bank continues to innovate in green financial products, enhance sustainability-driven governance, and build stronger collaboration with regulators and key stakeholders. This commitment aligns with the national policy direction to accelerate the shift toward a green economy and strengthen financial-sector resilience against climate related risks.

With a comprehensive, innovative, and sustainability-focused approach, Bank Shinhan Indonesia remains committed to actively shaping Indonesia’s transition toward a greener, more resilient, and globally competitive economic future.