ESG Banking

electricity is part of GHG scope?

• Scope 1

• Scope 2

• Scope 3

• Scope 4

Why is ESG important for banks?

• To increase the interest rates

• To enhance risk management and long-term value creation

• To simplify loan approval processes

• To reduce operational costs

Which of the following is an example of an ‘Environmental’ responsibility for banks?

• Providing customer service

• Offering high-interest loans

• Reducing carbon emissions from branch operations

• Conducting market research

How does the ‘Social’ component of ESG relate to banking?

• By maximizing shareholder returns

• By ensuring ethical labor practices and supporting community development

• By increasing interest rates on loans

• By cutting down on customer service resources

What does the ‘Governance’ aspect of ESG focus on in a banking context?

• Enhancing digital services

• Reducing fees for customers

• Increasing the number of branches

• Ensuring transparency in financial reporting and ethical decision-making

What could be a consequence for a bank that neglects ESG principles?

• Improved reputation among customers

• Higher customer retention

• Regulatory penalties and loss of trust

• decrease profit

What is the primary reason banks are increasingly adopting ESG practices?

• To meet regulatory requirements and build sustainable financial systems

• To reduce the need for customer service

• To increase the number of account holders

• To offer more loan products

How can ESG principles influence a bank’s investment decisions?

• By prioritizing investments in sustainable and socially responsible projects

• By focusing only on short-term profits

• By avoiding all risks

• By offering lower interest rates

What is a social benefit of strong ESG practices in banking?

• More complex loan approval processes

• Increased operational costs

• Higher interest rates for customers

• Better community relations and employee engagement

How can entry-level employees contribute to ESG in their banking roles?

• Focusing solely on sales targets

• Ignoring ESG policies

• Promoting sustainable banking practices and ethical behavior

• voiding customer interactions