Bangkok Bank : Sustainability Report 2023

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FAMILY one TEAM

Sustainability Report 2023

Bangkok Bank Public Company Limited

Vision

To be a bank which provides quality financial services in line with customers' requirements, and is well equipped with qualified human resources and world-class technology and working systems, while maintaining its status as a well-established international bank and a leading Asian bank

Mission

The Bank has a financial mission, market and customer mission, quality operations mission, and capability mission, as described below:

Financial Perspective

To attain stable growth in financial performance

Market and Customer Perspective

To maintain business leadership with service excellence

Quality Operations Perspective

To have efficient working systems and quality control procedures

To set standards for work processes and be able to use data from these processes to support decision-making

Capability Perspective

To equip the Bank's staff with the ability and potential to support the Bank's business expansion

Core Value

The Bank's core value, which enables it to continue to be the leading bank in the country, is "to provide quality financial services which satisfy customers" in keeping with the Bank's role as "a trusted partner and reliable close friend". All personnel in the Bank are required to recognize and uphold this in their individual conduct in all circumstances.

The core value embraces the following working philosophies:

To provide excellent quality service from the customer's point of view

To provide quality work

To perform duties as ethical and professional bankers

To work as a team with shared goals

To give importance to personnel development

Contents

Part

	Message from the Board and
	1 Sustainability Undertaking
• Message from the Chairman,	6
	the Executive Chairman and the President
•	About Bangkok Bank	9
•	About this Report	15
•	Materiality Assessment	16

• Sustainability Commitments and Targets 22

•	Stakeholder Engagement	32
•	Summary of 2023 Sustainability	36
	Performance

Part

2 Be Resilient

• Risk and Crisis Management

39

	Part
	3	Be Responsible
•	Sustainable Finance	45
•	Inclusive Finance	55
• Social Reponsibility and Value Creation	61
• Environmental and Carbon Footprint	70

Part

4 Be Customer Centric

•	Innovation and Digitalization	81
•	Customer Relations	86
•	Cybersecurity and	91
	Data Privacy Protection

Part

5 Be Caring

•	Talent Attraction and Development	99
•	Employee Welfare and Wellbeing	104

Part

6 Be Ethical

•	Corporate Governance	111
•	Business Ethics	115

•	Awards and Achievements	124
•	Performance Data	126
•	GRI Content Index	140
•	Assurance Statement	149

MESSAGE FROM	BE	BE	BE CUSTOMER	BE	BE
THE BOARD	RESILIENT	RESPONSIBLE	CENTRIC	CARING	ETHICAL

Message from the Chairman, the Executive Chairman and the President

Bangkok Bank Public Company Limited

Sustainability Report 2023

MESSAGE FROM	BE	BE	BE CUSTOMER	BE	BE
THE BOARD	RESILIENT	RESPONSIBLE	CENTRIC	CARING	ETHICAL

Message from the Chairman, the Executive Chairman and the President

Thailand's economy continued to recover throughout 2023 at a slower-than-anticipated pace due to the global economic slowdown. We still sought to assist businesses of all sizes so that they could compete and grow sustainably. While our corporate customers could generally manage the situation well, some smaller enterprises that had not fully recovered from the impact of the Covid-19 pandemic continued to face difficulties. As a trusted partner, reliable close friend and responsible financial services provider, we have put more effort into supporting our customers, in line with our One Family, One Team strategy, which is to be united across all constituents of Bangkok Bank, and stay close to our customers to gain insights into their evolving needs so that we can provide them with the support they need to achieve their potential. All of these efforts and approaches align with our goal to be Thailand's most trusted bank by striving for business sustainability and managing risk effectively while considering the long-term benefit for stakeholders when making decisions with a view to building a sustainable future for all involved parties.

Phornthep Phornprapha

Chairman

We seek to help Thailand create a more inclusive and sustainable economy through our sustainability framework which is founded on four key pillars:

1. Efficient and effective risk management covering short- term and long-term materiality issues while monitoring changes in the economy, society and environment as well as assessing threats and opportunities arising from them
2. Sound human resource management
3. Good corporate governance
4. Sustainable value creation for society and the environment.

We believe the above policy direction will enable us to effectively manage challenges while creating long-term value for all stakeholder groups. We will continue to focus on assisting customers so they can deliver sustainable profit and face future uncertainties with confidence.

We will continue to focus on assisting customers so they can deliver sustainable profit and face future uncertainties with confidence.

We have established a framework for Responsible Lending to serve as a guideline for underwriting business and consumer loans, thereby strengthening our position as a responsible lender.

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Sustainability Report 2023

MESSAGE FROM	BE	BE	BE CUSTOMER	BE	BE
THE BOARD	RESILIENT	RESPONSIBLE	CENTRIC	CARING	ETHICAL

Deja Tulananda

Executive Chairman

Thai society continues to evolve in line with the megatrends of regionalization, digitalization and urbanization, as well as ESG-related issues and climate change which are becoming increasingly important to our business and that of our customers. We have implemented a number of initiatives to tackle these megatrends, such as: providing finance to customers to make their homes and businesses more energy efficient; funding major renewable energy and mass transit projects; supporting new industries such as electric vehicles; providing transformation finance; underwriting the issuance of green and sustainability bonds; improving financial literacy; expanding financial inclusion through the use of banking agents; extending finance to micro-enterprises; replacing paper-based systems with digital ones; strengthening security measures to protect customers from fraud; and working with local communities to address their challenges. We also organized knowledge-sharing programs to help customers build their capability about how to operate their business in a more environmentally friendly way and meet new ESG requirements, as value-added services to supplement our provision of financial services.

In recognition of our achievements in sustainable and responsible banking, we have won many awards including Best Bank for Sustainable Finance in Thailand and Outstanding Leadership in ESG-Related Loans for Asia Pacific from Global Finance magazine's Sustainable Finance Awards 2023, and Best Sustainable Bank in Thailand in 2023 from FinanceAsia. We also won four awards from the National Cyber Security Agency for Cybersecurity Performance Excellence and a Community Engagement Award from the Senior Citizen Home Safety Association.

We are committed to strengthening our position as a leading ASEAN bank while enhancing our capabilities as a digital bank and a green bank.

We are committed to strengthening our position as a leading ASEAN bank while enhancing our capabilities as a digital bank and a green bank which can help Thailand to achieve its SDGs and the Paris Agreement goals. We will foster a sustainability culture by increasing awareness about the role we can play in reducing GHG emissions and developing a roadmap for our transition to net zero. In collaboration with the Bank of Thailand and the Thai Bankers' Association, we will systematically integrate environmental and climate considerations into our business conduct and reduce financed emissions across our loan portfolio.

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Sustainability Report 2023

MESSAGE FROM	BE	BE	BE CUSTOMER	BE	BE
THE BOARD	RESILIENT	RESPONSIBLE	CENTRIC	CARING	ETHICAL

We will continue to strengthen our ESG efforts, support our employees' welfare and development, and foster a good governance culture within our organization.

Chartsiri Sophonpanich

President

To improve our ESG performance and fulfill our stakeholders' expectations, we will continue to strengthen our ESG efforts, support our employees' welfare and development, and foster a good governance culture within our organization. For the past eight decades, Bangkok Bank has provided a helping hand to millions of people, enabling them to achieve their dreams of improving their financial health, buying a home, advancing their agricultural capabilities, or building their own business. As we have developed from a leading Thai bank into a leading ASEAN bank, we have enabled small Thai businesses to grow into regional giants while playing a part in Thailand's passage toward prosperity. We believe that by continuing along our sustainability journey, we can continue to serve and create value for all our stakeholders well into the future.

(Phornthep Phornprapha)	(Deja Tulananda)	(Chartsiri Sophonpanich)
Chairman	Executive Chairman	President

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Sustainability Report 2023

MESSAGE FROM	BE	BE	BE CUSTOMER	BE	BE
THE BOARD	RESILIENT	RESPONSIBLE	CENTRIC	CARING	ETHICAL

About Bangkok Bank

Bangkok Bank Public Company Limited was founded in 1944 and was among the first 16 companies to be listed on the Stock Exchange of Thailand in 1975. Currently, the Bank is Thailand's largest commercial bank by assets and a leading bank in Southeast Asia with an extensive branch network in every province of Thailand and an international network covering 14 key economies, namely Cambodia, Hong Kong, Japan, Laos, Myanmar, the Philippines, Singapore, Taiwan, the UK, the US and Vietnam, as well as our international subsidiaries Bangkok Bank Berhad in Malaysia, Bangkok Bank (China), and PermataBank in Indonesia.

We offer a full range of diversified financial products and services for both business and individual customers through our local and international branch networks, business centers, automatic banking channels, digital banking services and banking agents. We are committed to being "puan koo kit mit koo baan" (a trusted partner and reliable close friend) with an emphasis on building and maintaining relationships with customers from generation to generation. We also place importance on operating our business responsibility for society, the environment and all groups of stakeholders by adhering to good governance principles while being customer-centered and following sustainable business practices. Our sustainable development goal is to be the most trusted bank by doing business sustainably, managing risk effectively, and considering the long-term benefits of stakeholders with the aim to build a sustainable future for all. In addition,

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Sustainability Report 2023

MESSAGE FROM	BE	BE	BE CUSTOMER	BE	BE
THE BOARD	RESILIENT	RESPONSIBLE	CENTRIC	CARING	ETHICAL

we encourage our personnel to work together closely under the concept of One Family, One Team to seamlessly deliver excellent service to our customers wherever they are, with three key components:

Products and Services

Products and Services for Business Customers

Products and Services for Individual Customers

• Caring: We care for and support each other, our customers and communities as reliable close friends through good times and bad.
• Insightful: We continually develop the knowledge, expertise and insights to support each other and our customers.
• United: We work together as trusted partners to enable our customers to achieve their goals.

Bank Information

Date of Establishment

1 December 1944

Head Office Address

333 Silom Road, Silom, Bang Rak,

Bangkok 10500

Total Asset Value

4,514,484 million Baht

• Deposit accounts
• Credit card products
• Business loan products
• Credit card merchant services
• Payment services
• Collection services
• Liquidity management services
• Financial services for international trade
• Financial risk protection services
• Securities services
• Investment banking services
• Digital banking services, including internet banking services (BIZ iBanking and Corporate iCash), digital banking for export and import services (Bualuang iTrade), online payments for buyers and dealers (Bualuang iSupply), electronic guarantee issuance services (Bualuang e-Guarantee), online service for customers in asset management, the securities business and financial institutions (Bualuang iCustody), and online service for provident fund members and provident fund committees (Bualuang iFunds)
• Corporate Service Center

• Savings products including savings accounts and current accounts, fixed deposit accounts, and e-Savings accounts
• Investment products including mutual funds, bonds and debentures
• Consumer credit cards and debit cards
• Security protection services including life insurance, accident and health insurance, personal loans and loans for pensioners
• Home and residence products including home loans, home equity loans and properties for sale
• Digital banking services including mobile banking services (Bangkok Bank Mobile Banking), internet banking services (Bualuang iBanking) and QR Code payment services
• Contact Center (Bualuang Phone)
• Banking services through automatic teller machines
• Currency exchange and foreign instrument services

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THE BOARD	RESILIENT	RESPONSIBLE	CENTRIC	CARING	ETHICAL

Guidelines for Sustainable Business

Uncertain and fast-changing situations related to environmental, social and governance (ESG) aspects present both opportunities and challenges for businesses today. Businesses that are able to successfully adapt to and embrace changes can gain a competitive advantage over their peers. Additionally, companies that integrate ESG factors into their business will have a broader perspective and should be better able to identify opportunities and risks. This should enable them to properly formulate strategies and set forth measures to expand business opportunities and reduce ESG risks.

We recognize the expectations of all stakeholder groups when considering our sustainability or ESG practices, as well as the policy directions from regulators that require businesses to take tangible actions in terms of social and environmental responsibility, particularly supporting the country to achieve carbon neutrality in 2050 and net zero carbon emissions in 2065. Therefore, the Bank has developed a sustainability policy and a systematic sustainability framework including setting sustainability strategies that are aligned with our business and the interests of our stakeholders. We have also incorporated materiality issues derived from the double materiality assessment that require stakeholder engagement as a foundation for formulating our strategy while identifying commitments, key performance indicators, and short-term and long-term targets for each materiality issue. This is to demonstrate our sustainability commitment and performance. Our sustainability policy and strategies have been agreed to by senior executives and approved by the Board of Directors.

Sustainability Policy

We have founded our sustainability policy on four key pillars as follows:

1. Prudent and Comprehensive Risk Managementcovering significant issues in both the short-and long-termwhile keeping abreast of situations and assessing business opportunities resulting from changing economic, social and environmental conditions.
2. Human Resource Management including treating employees equally and fairly without discrimination, providing them with occupational health, safety and wellbeing, and continually developing their knowledge and skills.
3. Good Corporate Governance.
4. Creating Sustainable Value for Society and Environment including promoting financial literacy and financial inclusion, participating in corporate social responsibility activities, and encouraging suppliers to conduct their businesses in a sustainable manner.

In addition, we place importance on sustainability governance, stakeholder engagement and communication, and capability building for directors, executives and employees at all levels to ensure effective policy implementation.

Please scan the QR Code for addition information on Our Sustainability Policy

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Sustainability Report 2023