THE SOCIO-ECONOMIC IMPACT OF STANDARD CHARTERED’S LENDING

A case study of the socio-economic manufacturing and infrastructure lending in Ghana DOCUMENT REFERENCE A case study of the socio-economic manufacturing and infrastructure lending in Ghana

DATE September 2020

CONTACT INFORMATION Genesis Analytics (Pty) Ltd Office 3, 50 Sixth Road, Hyde Park,Johannesburg WeWork, Fox Court, 14 Grays Inn Road, London 3rd Floor, Maryland Mall, 350 Ikorodu Road, Maryland, Lagos 4th Floor, West Park Suites, Ojijo Road, Parklands, Nairobi

AUTHORS Ryan Short, Kim Adonis, Caroline Stapleton, Nompilo Mtunzi, Kagiso Mamabolo, Itumeleng Mokoena

CONTACT PERSON Ryan Short, Partner EMAIL [email protected] MOBILE +27 82 349 0030 TELEPHONE +2711 994 7000 www.genesis-analytics.com Executive summary

With a global footprint spanning the world’s developed and emerging markets, Standard Chartered is in a strong position to lead thinking on corporate impact and sustainable development.

n line with global commitments, Standard Chartered is in the process of aligning operations to the United Nations Sustainable Development Goals (SDGs). Achieving these commitments relies on the ability of the Bank to understand and measure the impact of banking activities across a range of Ieconomic, social and environmental themes. Standard Chartered is exploring innovative ways to measure impact, and has been working with impact advisors, Genesis Analytics, to first redesign and then test an evolved approach to impact reporting and measurement.

Traditional corporate impact studies Thus, the revised approach puts forward have the following shortcomings: six new principles for impact reporting:

1 A tendency to cherry-pick “good stories” 1.1 Report on positive impact but also and present an unbalanced, overly positive include an assessment of gaps and view of impact, failing to acknowledge gaps opportunities to improve impact; or identify how impact can be improved; 2 Take the developmental context of the 2 Minimal empathy with the local context national market into account as impact is in different national markets; always relative to local conditions and needs;

3 A preference for economic indicators, 3 Test impact against a range of social, especially GDP and employment, environmental and economic themes; with nominal attention to social 4 Ensure impact reporting provides and environmental indicators; an evidentiary link to global

4 Ad hoc stand-alone reports not linked to sustainability aspirations and SDGs; SDGs or global sustainability frameworks; 5 Try to measure the outcomes of 5 Measurement of inward-looking banking activities, not only inward- operational activities rather than looking operational activities; outcomes created by banking 6 Link impact reporting to an activities; ongoing impact strategy. 6 A gap in reporting on the state of impact readiness in the organisation and how impact can be strategically improved.

3 he new approach acknowledges that The report finds that most of this positive impact is a relative concept that depends impact is incidental to normal business rather on the underlying local needs and than strategic. Standard Chartered Bank Ghana Tconditions which are entirely different in Limited can potentially expand scope of impact different parts of the world. It necessarily uses a by linking business to an impact strategy; wider set of economic, social and environmental increasing lending which is aligned to the SDGs, indicators than previous studies and for the national development goals and Opportunity first time requires the participation of clients 20301 investment opportunities in renewable to gather data to assess outcomes of lending energy, water and sanitation, transport and (externalities). It also shifts impact reporting ICT infrastructure; collaborating further with from a collection of positive stories to a more clients on inclusion and diversity, Small and balanced view where gaps are independently Medium Enterprise (SME) development and and honestly noted and accompanied by environmental protection; building impact analysis of how impact can be improved. partnerships with government and the financial sector; expanding SME ecosystem banking; and The approach was tested in a case study in strengthening impact management processes Ghana using the impact of Standard Chartered’s and impact-related data collection in the Bank. manufacturing and infrastructure lending in Ghana as a pilot. These categories of lending were Learnings on the new approach are that impact identified as appropriate test categories as they research needs a combination of quantitative are aligned with Ghanaian national development and qualitative research, and that in national priorities, they overlap with Standard markets there is a dearth of easily available Chartered’s Sustainability Aspirations and they sustainability and impact-relevant data. cover a meaningful proportion of lending. To assess impact at the level of outcomes On the positive side, the study finds that created requires far more data and Standard Chartered’s lending to manufacturing information, and much of this is not in the and infrastructure clients contributes to national control of the Bank but of clients. Thus, closer development priorities in Ghana, including the impact partnerships with like-minded key aspiration to increase manufactured production clients will be needed to report on full impact and to improve the infrastructural backbone and to evidence the Sustainability Aspirations in transport, Information, Communication, accurately. Moreover, more attention will be Technology (ICT), and education. The lending needed on impact data management and over the period 2010 to 2019 can be shown to data sharing processes, as well as the non- contribute to an economy-wide impact on Gross financial information that the Bank gathers Domestic Product (GDP) and employment, from clients at the time of transacting. generating a total GDP contribution of $507 million and supporting 121,809 jobs in Previous measurement approaches centred the Ghanaian economy. The lending is also impact on the quantification of GDP and supportive of key development sub-sectors. employment. The new approach positions impact within the local developmental context, A fuller view of impact was helped by introducing and tries to consider economic, social and client surveys. From the surveys it appears that environmental indicators. It is also a first step clients also contribute to the decent work agenda, in gathering the evidence needed for Standard namely formal jobs with skills development Chartered’s Sustainability Aspirations and opportunities, and are reasonably inclusive of helps to assess how far the Bank has come in youth, marginalised gender groups and disabled embedding impact management and impact groups. Some clients are also aware of social and strategy in national markets. While it enables environmental impact and have Environmental, the articulation of positive impact, the approach Social and Governance strategies in place; a lower simultaneously allows impact gaps and number have a climate change strategy in place. opportunities to improve impact, to be identified.

4 Introduction

The financial sector plays a transformative role in sustainable development. Yet only 60 per cent of financing needed to achieve the 17 United Nations Sustainable Development Goals (SDGs) in low and middle-income countries is being met. In Africa, this is as low as 10 per cent.2

tandard Chartered’s Opportunity 2030 , a report that maps out the scale of investment opportunities in infrastructure around the world, further emphasises that the investment Srequired to meet the SDG targets will require a concerted private sector effort. With a footprint spanning the world’s developed and developing regions, Standard Chartered can understand and bridge the aspirations of high-income and low-income countries. This puts Standard Chartered in a position to lead global thinking on sustainable development and corporate impact, and furthermore, to move capital around the world to where it matters most.

Standard Chartered has committed to be “Here for good”. As a signatory of the United Nations Environment Programme Finance Initiative’s Principles of Responsible Banking (PRB), the Bank is required to ensure that the Bank’s strategy and practice are aligned to the SDGs and Paris Climate Agreement, to improve overall positive impact and to set targets where there is opportunity for significant impact.

In line with this commitment, Standard Chartered has established Sustainability Aspirations, which were refreshed in 2019 and re-released in 2020. These describe measurable All amounts in activities and annual and multi-year targets in the areas determined to have greatest impact. Pillar 1 of the group level this report are in Sustainability Aspirations relates to sustainable finance; in other words, the impact the Bank will achieve through lending US Dollars ($). activity. Pillars 2 and 3 concern being a Responsible Company (operational activities) and Inclusive Communities (community engagement).

This report is primarily concerned with measuring impacts under Pillar 1 of the Sustainability Aspirations.

5 Pillar 1 of Standard Chartered’s Sustainability Aspirations

Infrastructure Climate PILLAR 1 Provide project Provide $35 billion Sustainable financing services worth of project Finance for $40 billion financing services, of infrastructure M&A advisory and debt projects that structuring services for promote sustainable renewables projects development (that (solar and wind) align to our verified (Jan 2020 - Dec 2024) green and sustainable Develop a methodology product framework) to measure, manage and (Jan 2020 - Dec 2024) ultimately reduce the

Catalyse $5 billion of CO2 emissions from the finance via blended activities we finance finance transactions (Jan 2019 - Dec 2020) (Jan 2020 - Dec 2024) Exit all clients who remain dependent on Entrepreneurs thermal coal for over 10 per cent of their Provide $15 billion revenue by 2030, with of financing to small interim thresholds business clients (Jan 2020 - Dec 2030) (business banking) – extending access to finance for Digital entrepreneurs (Jan Roll out digital-only bank 2020 - Dec 2024) in 12 markets, doubling Provide $3 billion the number of clients of financing to we reach to 3.2 million microfinance (Jan 2020 - Dec 2021) institutions (Jan 2020 - Dec 2024) Impact Finance Ensure that 10 per Commerce cent of all assets Bank 10,000 of our under management in clients’ international our Private Bank are and domestic networks socially responsible of suppliers and buyers (Jan 2020 - Dec 2024) through banking the By end of 2020 have ecosystem programmes ESG scores for all equity (Jan 2020 - Dec 2024) investments for Private Banking clients allowing Red = A theme of them to tailor their potential interest investment choices in when assessing a sustainable manner the impact of the lending in Ghana (Jan 2020 - Dec 2020)

6 An evolving approach to impact measurement

To achieve the Sustainability Aspirations and SDGs, measurement frameworks are needed to link financing to impact, and impact to the SDGs.

he Bank must be able to measure both positive and negative impacts rigorously. This means being able to accurately and fairly conceptualise, measure and articulate a range of economic, social Tand environmental impacts. Impact goes far beyond philanthropy and government compliance. Impact is about the social, economic and environmental effects of all aspects of business operations on all affected stakeholders. Standard Chartered defines impact as “the role the Bank has in supporting econo- mies, and the impact our financing can have on the prosperity of countries and communities”.3

7 Against this backdrop, Standard Chartered is exploring better ways to measure impact.

The Bank asked impact advisors Genesis Analytics to refresh and test an evolved impact measurement approach that overcomes the limitations A revised approach puts forward six new of traditional impact studies, namely: principles for improved impact reporting:

1 A tendency to cherry-pick “good stories” 1 Report on positive impact but also and present an unbalanced, overly positive include an assessment of gaps and view of impact, failing to acknowledge gaps opportunities to improve impact; or identify how impact can be improved; 2 Take the developmental context of the

2 Minimal empathy with the local context national market into account as impact is in different national markets; always relative to local conditions and needs;

3 A preference for economic indicators, 3 Test impact against a range of social, especially GDP and employment, environmental and economic themes; with nominal attention to social 4 Ensure impact reporting provides and environmental indicators; an evidentiary link to global

4 Ad hoc stand-alone reports not linked to sustainability aspirations and SDGs; SDGs or global sustainability frameworks; 5 Try to measure the outcomes of

5 Measurement of inward-looking operational banking activities, not only inward- activities rather than outcomes created by looking operational activities; banking activities; 6 Link impact reporting to an

6 A gap in reporting on the state of impact ongoing impact strategy. readiness in the organisation and how impact can be strategically improved.

This report documents a case study in Ghana, looking at the impact manufacturing and infrastructure lending as a test of the new approach.

The report has evolved from the Bank’s previous impact reports in a number of ways:

In line with Principle 1, the report starts with a consideration of the Ghanaian developmental context in infrastructure and manufacturing as a backdrop to the impact of the lending.

In line with Principles 3 and 4, it tries to measure positive outcomes of lending, and link these to Sustainability Aspirations.

In line with Principles 5 and 6, it does not shy away from suggesting where impact can be improved, offering a more balanced and authentic approach.

Finally, in line with Principle 2, impact of lending is tested against eleven economic, social and environmental indicators. These are a blend of traditional economic impact indicators (like GDP and employment), development indicators, Sustainability Aspiration indicators, social and environmental indicators, and indicators assessing the maturity of impact strategy and impact management processes in the Bank in Ghana.

These indicators are one level down from the SDGs but can be linked to show support of relevant SDGs. The indicators are intentionally a mix of where the Bank is likely to be performing well already and where there is work to be done. This framework could serve as a guide for assessing the impact in any of Standard Chartered’s markets.

8 Sustainability Economic Development Aspiration- indicators indicators linked indicators

1. The lending 3. The lending supports 4. The lending contributes to sectors important supports renewable economy-wide GDP. for economic infrastructure projects. development in the 2. The lending 5. The lending supports local context. contributes to digital access. economy-wide 6. The lending supports employment. small and medium enterprise (SME) development.

7. The Bank services networks of SMEs via ecosystem banking.

Strategy Social Environmental & process indicators indicators indicators

8. The lending creates 9. The lending improves 10. Impact management outcomes inclusive environmental is embedded across of gender, youth outcomes. the Bank’s operations. and people with 11. There is an impact disabilities. strategy in place that informs the business strategy.

9 Methodology

This wider template relies on a wider set of data to draw conclusions and is populated by a methodology that mixes quantitative and qualitative research including:

A review of the developmental literature for Ghana The developmental context in Ghana is researched via interviews and a literature review of national development plans, SDG planning documents, sectoral action plans, and World Bank, International Monetary Fund (IMF) and other socio-economic reviews.

Analysis of financial data Financial data was provided by Standard Chartered in Ghana and analysed by Genesis Analytics. Executive interviews across the bank were also conducted in Ghana in late 2019.

Analysis of non-financial data This is data that is not related to the lending, for example, the number of employees of a client, or clients’ environmental policies. It emerged that the Bank does not collect this information and therefore a client survey was used to try and gather non-financial information.

Quantifying the economic impact of lending through a Social Accounting Matrix (SAM) model, using financial data provided by Standard Chartered Ghana A SAM is a modelled representation of all transactions that take place within an economy, providing a matrix that maps the relationships between economic sectors. It captures all interactions and monetary flows between productive activities (economic sectors), commodities, factors of production (labour, land and capital) and institutions (business, government and households) within the economy. By adjusting the SAM with “shocks” and observing the results, the impact on the economy as a whole can be simulated.4

Client survey and interviews The qualitative assessment was based on a digital survey of manufacturing and infrastructure clients and planned follow-up interviews. 10 Why infrastructure and manufacturing?

Lending to manufacturing and infrastructure/construction sectors was selected for four reasons:

1 Infrastructure and manufacturing are drivers of economic development and are fully aligned with development policy priorities in Ghana.

2 The sectors overlap partially with the Sustainable Finance Pillar of Standard Chartered’s Sustainability Aspirations and thus the SDGs, creating an opportunity to evidence Standard Chartered’s impact against the Aspirations.

3 The lending covers a meaningful portion (24 per cent) of the Ghanaian lending book as well as activities across all business segments.

4 Standard Chartered would like to continue to build knowledge on the infrastructure sector following the opportunities identified in Standard Chartered’s Opportunity 2030 publication.

A learning from this study was that it is not easy to access sustainability and impact- relevant data in the Bank. While desktop review, internal interviews and financial data were all secured, non-financial data on clients was either not available or not retained in an accessible repository. The survey response was limited and planned client interviews had to be cancelled because of the COVID-19 pandemic.

Desktop Contextual Research ||||||||||

SCB Ghana Internal Reviews ||||||||||

SCB Ghana Financial Data ||||||||||

SCB Ghana Non-Financial Data ||||||||||

Client Survey | Infrastructure ||||||||||

Client Survey | Manufacturing ||||||||||

COVID-19 Client Interviews (Infrastructure and Manufacturing) ||||||||||

These data limitations are a learning for the Bank: to assess impact accurately requires more data and information, and much of this is not in the control of the Bank. Thus, in future more attention will be needed on impact data management and data sharing processes, as well as the non-financial information that the Bank gathers from clients at the time of transacting. 11 6.47% The 2019 Real GDP growth rate Ghanaian context 2.6% 2020 estimated Ghana is a development Real GDP growth rate success story and one of the ten fastest growing economies in Africa.5

rom 2015 to 2019, growth was impressive, with a real GDP growth rate of 6.47 per Fcent recorded in 2019.6 Non-extractive growth, that is growth not linked to the burgeoning oil and gas sector, was also strong.7 The COVID-19 pandemic slowed but did not stop the trend: the government estimated GDP growth of 2.6 per cent for 2020.8

Over the past two decades, Ghanaians have enjoyed a marked increase in quality of life. Life expectancy, years of schooling, and gross national income per capita have all improved significantly.9 Ghanaians can be justifiably proud that the goal to halve extreme poverty was achieved ahead of time with the portion of Ghanaians living in extreme poverty falling from 37 per cent in 1992 to 18 per cent in 2005.10

However, work is needed to make economic growth more inclusive.11

According to the World Bank, while employment levels in Ghana over the last decade have been marginally better than Sub-Saharan Africa’s averages, employment is still dominated by lower-quality informal sector jobs and skewed towards male and rural employment.12

In recent years, Ghana’s development progress has been marked by a commitment to the SDGs.13 12 The SDGs have been integrated into the national development agenda and national budget, and SDG priority projects have been established. These include the flagshipOne District, One Factory initiative and establishment of the Ghana Infrastructure Investment Fund.14 In 2017, the president of Ghana was co-chair of the SDG’s Advocacy Group set up by the Secretary-General of the United Nations.

Ghana’s robust socio-economic performance has been driven by the oil and gas sector. Yet the economy has also started to evolve towards other industry and services, which is a sign of improving human capital. This is evident in new manufacturing investment projects by a multinational goods company, which opened three new plants in 2019, and two new assembly plants for multinational car manufacturers.

Ghana’s development plans identify the Employed population 15 years and older by level of informality, 2016 need for more manufacturing activity. One of these, the Industrial Transformation % of total employment Agenda, seeks to make Ghana the most business- friendly industrial nation in Africa and to attract new entrants in export manufacturing under the African Growth and Opportunity Act (AGOA) and Economic Community of West African States (ECOWAS)15 – EU Economic Partnership Agreement. However, a big inhibitor of small- to 77.3% medium-sized local manufacturers’ growth is Formal the ability to access long-term finance.16 This Informal presents an opportunity for financial institutions Source: Ghana Livings Standards Survey 7, 2019 in Ghana.

Ghana’s growth is also dependent on widespread infrastructure development and this will require large-scale financing which will not be met from public sources alone.17 In 2017, the International Labour Office and World Bank identified four lags in infrastructure development: electricity, water and sanitation, roads, and telecoms.18

83% of the total Ghanaian 81% and 18% of the population have access population have access to electricity where to safely manged basic only 50% of the rural service sanitation and population have access WATER & water respectively ELECTRICITY SANITATION

Over 50% of mobile connection is still on 3G Road transport accounts and thus far only MTN has for 96% of passenger and invested in LTE infrastructure freight traffic in Ghana Poor 4G penetration is a ROADS & TELECOM- barrier for investment TRANSPORT MUNICATIONS

The G20 estimates that infrastructure investment of $2.4 billion is needed each year until 2040 to close the infrastructure financing gap – that is, the gap between public financing available for infrastructure development compared with the actual cost.19 Similarly, Standard Chartered’s Opportunity 2030 report estimates the combined private sector infrastructure investment opportunity in Ghana in energy, water and sanitation, digital access, and transport is valued at $1.96 billion per year until 2030.

These ambitious infrastructure financing goals will only be achieved by a collective public and private effort. 13 Access to schools, healthcare, clean water, housing, energy, transport and digital services is the building block of quality of life for citizens.

14 The impact of lending to the infrastructure and manufacturing sectors

Lending to clients in manufacturing and infrastructure has a positive impact on economic development.

Why is Infrastructure development Infrastructure reduces the is a well-established growth cost of production and infrastructure driver. It has a positive therefore positively impacts important for effect on the marginal profitability, output levels, development? productivity of private and income and employment, public capital investment. particularly for SMEs.

The availability of rail, The availability of road, electricity and transportation, schools, airport plays a crucial healthcare facilities, and clean role in boosting water and housing are central export markets. to the quality of life of citizens.

Why is The manufacturing sector Manufacturing has manufacturing is an engine for growth that the ability to create creates strong economic employment opportunities important for spillovers. Inclusive and at scale. This leads to development? decisive development of a high multiplier effect the manufacturing sector throughout the economy. has also been found to stimulate the export market.

The sector also influences Due to economic growth through linkages, development the acceleration of in the manufacturing technological accumulation sector promotes service and increases in the sector growth. national savings.

Manufacturing is an engine of growth and is a stimulus for exports with strong economic spillovers,20 while infrastructure reduces the cost of production and increases output, income levels and employment.21 15 Contribution to economy-wide GDP With the use of a SAM22 model, it is estimated that Standard Chartered in Ghana’s lending to manufacturing and infrastructure from 2010 to 2019 had a total inflation-adjusted GDP impact of $507 million. Standard Chartered’s contribution to the economy wide GDP was $265 million for infrastructure and $242 million for manufacturing. Combined, the economy-wide GDP impact over this period was equivalent to 1.1 per cent of average GDP at 2019 prices.

The GDP impact of the infrastructure and manufacturing loan books ($millions, 2019 prices)

Economy-wide GDP 109 50 107 impact of Infrastructure $265 million

Economy-wide GDP 95 50 97 impact of Manufacturing $242 million

Direct Indirect Induced

Source: Genesis Analytics using data provided by Standard Chartered

The economy-wide contribution to GDP of Standard Chartered’s lending is spread across fifteen sectors. This indicates strong linkages between infrastructure and manufacturing lending and other parts of the economy.

Economy-wide GDP impact split by sector, % of total impact, 2010 to 2019

Transportation and Storage 16%

Agriculture, Forestry and Fishing 16%

Metals and Metal Products 15%

Education 7%

Information and Communication 5%

Real Estate Activities 5%

Finance and Insurance 5%

Wholesale and Retail Trade 4%

Accommodation and Food Services 4%

Mining 4%

Other Services 4%

Construction 4%

Food, Beverages and Tobacco 2%

Chemicals 2%

Other Manufacturing 2%

Other 5%

Source: Genesis Analytics using data provided by Standard Chartered 16 Contribution to economy-wide employment Standard Chartered in Ghana’s lending to manufacturing and infrastructure clients between 2010 to 2019 supported economy-wide employment of 121,809 jobs, of which 74,348 were from infrastructure lending and 47,461 from manufacturing lending.

The employment impact of infrastructure and manufacturing lending

Economy-wide Employment 32,620 12,787 28,941 impact of Infrastructure 74,348

Economy-wide Employment 11,609 9,472 26,380 impact of Manufacturing 47,461

Direct Indirect Induced

Source: Genesis Analytics using data provided by Standard Chartered

Infrastructure loans from 2010 to 2019 Manufacturing loans from 2015 to 2019

For every $1 million in loans For every $1 million in loans provided in infrastructure 420 provided in manufacturing 259 economy-wide jobs were supported economy-wide jobs were supported

Contribution to sectors important for economic development in the local context The table below shows the breakdown of sub-sectors in which infrastructure and manufacturing lending creates GDP and employment.

% contribution to total % contribution to total Sub-sectoral impact of lending employment created GDP created (121,808 jobs) ($507m) Education 27.4% 7.4% Agriculture, Forestry and Fishing 17.2% 15.8% Transportation and Storage 8.8% 16.1% Other Services 7.3% 3.7% Finance and Insurance 7.0% 4.7% Metals and Metal Products 6.2% 15.4% Information and Communication 4.9% 5.2% Mining 4.7% 3.8% Wholesale and Retail Trade 4.0% 4.5% Non-Metal Minerals 2.8% 1.5% Accommodation and Food Services 2.1% 4.0% Business Services 1.4% 0.8% Food, Beverages and Tobacco 1.3% 2.1% Other Manufacturing 1.2% 1.7% Construction 0.9% 3.6% Health and Social Work 0.7% 0.2% Public Administration 0.7% 0.3% Chemicals 0.6% 1.8% Real Estate Activities 0.3% 4.9% Electricity, Gas and Steam 0.1% 0.7% Water Supply and Sewage 0.1% 0.6% Petroleum 0.1% 1.4%

Source: Genesis Analytics using data provided by Standard Chartered 17 Infrastructure lending Ghana’s ports have seen a rapid increase in 94.79% throughput23 and are undergoing expansion and upgrading. The lending promotes the mobile data penetration 2020 development of ports, leading to more trade, foreign currency earnings and a better supply of imported goods.24 Standard Chartered in Ghana also contributes to financing for 0.27% airport infrastructure, supporting international Ghanaians having access commerce and tourism.25 to fixed broadband Investment in ICT infrastructure is an important enabler of growth.26 Ghana’s internet service is among the best in West Africa, although poor ICT infrastructure in rural areas is a challenge. Mobile data penetration increased from 39.5 per cent in 2013 to 94.79 per cent in 2020.27 However, the cost of internet services is still a barrier to digital access. In 2015, the International Telecommunication Union ranked Ghana 126th out of 178 economies for the price of mobile prepaid broadband as a percentage of gross national income per capita. Additionally, in 2017, the Alliance for Affordable Internet found that Ghana ranks low amongst 93% developing countries with only 0.27 per cent of of manufacturing respondents Ghanaians having access to fixed broadband.28 provide employees access to health benefits and skills Lending to education services in the public development sector supports human capital development and technological advancement.29 The government has developed an Education Strategic Plan (ESP) 2018-2030 to address 100% the challenges of infrastructure, access and inequality. However, the total cost of of infrastructure respondents provide employees access the reforms in the ESP outweigh resources to health benefits and skills available, leaving a financing gap that is development expected to increase to 13.7 per cent of needs by 2030.

Manufacturing lending 81% Steel is the largest lending category. Steel of employees stay for more is an instrumental industry in economic than five years (infrastructure) development as a basic raw material for much manufacturing, construction and infrastructure. Steel has been prioritised in the Industrial Transformation Agenda as a 71% strategic anchor industry that will shape of employees stay for the industrial landscape of Ghana. more than five years (manufacturing)

18 Additional impact assessment In line with the principle to expand assessment of impact from economic indicators to a wider set of social and environmental indicators, there was interest in testing what could be said about other outcomes that matter to the Bank including:

Climate change and Decent employment the environment and skills development

Inclusion and diversity

Ecosystem banking SME development

To this end, the study included a survey of clients as a first step in understanding the wider outcomes impact of lending. To be clear, it is not possible to attribute positive or negative outcomes in these fields to Standard Chartered lendingalone , as this would depend on the specific client relationship, the scale of lending in each case, and whether the clients could easily have substituted another lender for Standard Chartered. However, it does provide a first view of the societal value created by some of Standard Chartered’s clients and starting indication of whether clients are aligned to Standard Chartered’s sustainability values. More non-financial data and fuller disclosure of non-financial information would be needed to understand exactly how Standard Chartered’s lending contributes to outcomes created by clients.

Contribution to decent employment and skills development The first addiitonal consideration is how clients contribute to the decent work agenda. Decent work refers to employment opportunities that offer fair compensation, social security, freedom of expression, equal treatment and skills development opportunities.30 The client survey explored the availability of health insurance for employees, skills development policies and employee tenure as proxies for decent work.

The findings suggest that the clients of Standard Chartered in Ghana are positively contributing to the decent work agenda. Some 93 per cent of manufacturing respondents provide employees access to health benefits and skills development, while 100 per cent of infrastructure clients surveyed provide employees with access to skills development. Moreover, this employment is stable: 81 per cent of infrastructure clients and 71 per cent of manufacturing clients indicate that, on average, employees stay for more than five years. Therefore, it can be surmised that Standard Chartered positively contributes indirectly to the decent work agenda because the employment opportunities that the Bank’s clients generate tend to be formal, of better quality and linked to skills development.

Support of SMEs The second consideration is whether Standard Chartered’s lending supports SMEs. This is a Sustainability Aspiration as well as an important factor in economic development. 70% 82% SMEs contribute approximately In 2018, SMEs accounted for 82 70 per cent of Ghana’s GDP per cent of employment in Ghana

19 The Commercial Banking and Global Banking Inclusion and diversity segments account for 65 per cent and 95 per Diversity describes the extent to which a group cent respectively of the total infrastructure and of people reflect the demographics of society. manufacturing lending by value whilst Business Interventions towards economic inclusion seek Banking segment is less than 3 per cent. Thus equitable outcomes by facilitating access to the Bank will need to grow the Business Banking socio-economic opportunities to all groups. segment to improve direct impact on SMEs. Existing programmes on inclusion as well as The evidence suggests that Standard Chartered supplier diversity programmes indicate that supports SMEs indirectly through clients - Standard Chartered is already actively working infrastructure clients indicate that 48 per cent to support more equitable societal outcomes of suppliers are local SMEs; while infrastructure through its own business operations as part of clients report that 66 per cent of suppliers are Pillar 2 of the Sustainability Aspirations.31 local SMEs. The study tried to assess diversity in clients Ecosystem banking as a proxy for whether client organisations Interestingly, infrastructure clients indicate that have similar inclusion and diversity aspirations. 57 per cent of SME suppliers are banked by This takes on importance in a country where Standard Chartered in Ghana. In manufacturing, inclusivity of employment has some way to this is as low as 18 per cent. This indicates that progress. a large ecosystem banking opportunity is available, especially in the system surrounding Standard Chartered clients in infrastructure and manufacturing clients. manufacturing have workforces that are generally more diverse than national averages in Ghana.32

Manufacturing clients indicate that 52 per cent of the labour force is under 35, 19 per cent is female Ecosystem and 3.7 per cent is living with a disability. In banking at infrastructure, 45 per cent of workers are under Standard 35, 42 per cent are female and 1 per cent are Chartered? living with a disability.

In 2016, Standard Chartered Bank While these figures are encouraging, working launched “Banking the Ecosystem”, with clients to improve diversity and a global strategy to connect business inclusion further is a major opportunity communities and facilitate increased for strengthening client relationships and trade, commerce and investments improving impact in the Ghanaian economy across Asia, Africa and the Middle East. over time.

Standard Chartered envisions that Climate change and the environment The manufacturing and infrastructure industries the future of banking will be about tend to have high carbon footprints. The steel “Banking the Ecosystem.” This is a industry has a notoriously heavy impact on the value proposition whereby Standard environment and is associated with pollution, Chartered deploys customised solutions wastewater contamination, and hazardous solid that best suit clients’ “ecosystems” waste production. Transport infrastructure, – the international and domestic such as, airports and ports, are associated with network of suppliers, distributors noise, air and ocean pollution, and high carbon and customers of all sizes. emissions.

20 The Bank in Ghana has environmental and Manufacturing social risk management (ESRM) procedures in place that are used for new clients and transactions, and which are underpinned by Standard Chartered’s environmental position 57% statements. These cover five sectors: extractive of SME suppliers banked by Standard Chartered industries, power generation, agro-industries, infrastructure and transport. The ESRM process currently details Standard Chartered’s commitment to manage the risk of clients by 52% identifying known environmental and social of the labour risks, requiring clients to show an improvement, force is under 35 denying finance or exiting a client relationship where these risks are in contravention of the Standard Chartered position statements . For example, Standard Chartered will not provide 79% financing to manufacturers or distributors of have an ESG nuclear weapons or to new, coal-fire powered strategy in place energy plants.

The Sustainability Aspirations were revised and re-released in early 2020 and include 50% enhanced targets on financing renewable energy have climate change infrastructure. While the Bank in Ghana is taking mitigation strategies steps to screen out the worst environmental harm through ESRM before lending to clients, there is room for more lending to be directed to renewable energy projects, and Infrastructure to infrastructure financing with positive environmental outcomes in mind, where commercially viable opportunities are identified. 18% The client survey also explored the existence of SME suppliers banked by Standard Chartered of climate change and ESG policies as proxies that these clients would achieve better environmental outcomes (client interviews and case study assessments were not possible owing to the pandemic). 45% of the labour force is under 35 The survey shows that 83 per cent and 79 per cent of the infrastructure and manufacturing clients, respectively, have an Environmental, Social and Corporate Governance (ESG) strategy in place. However, only 50 per cent of 83% have an ESG manufacturers and 36 per cent of infrastructure strategy in place firms have climate change mitigation strategies in place.

There is a clear opportunity to partner with clients to improve environmental impact. 36% have climate change mitigation strategies

21 Assessment

The noted data limitations affect the ability to assess Standard Chartered’s lending against a broader set of outcomes, although a reasonable assessment can be made based on available data, as set out below.

With more information, a more detailed assessment would be possible.

High positive impact demonstrated Low positive impact demonstrated

The socio-economic assessment of impact is detailed below:

Economic indicators The lending contributes to economy-wide GDP. Evidence of a sizeable GDP multiplier effect, including spillover effects even to sectors not directly supported by the lending

The lending contributes to economy-wide employment. Evidence of a sizeable employment multiplier effect, including spillover effects even to sectors not directly supported by the lending

Development indicators The lending supports sectors important for economic development in the local context. Evidence of important sectoral contributions in infrastructure and manufacturing 22 Sustainability Aspiration-linked indicators The lending supports renewable infrastructure projects. The lending assessed did not prioritise the development of renewable infrastructure projects. (In 2020, Standard Chartered revised the Aspirations to place greater emphasis on renewable infrastructure deals aligned with the Green and Sustainable Product Framework. As this report uses 2019 data, these are not captured here).

The lending supports digital access. Access to digital banking was not explored in this study. However, indirectly, lending to the ICT infrastructure sector does assist with national digital access.

The lending supports SME development. One of the Sustainability Aspirations focuses on growing SME financing. Although there is some indirect support of SMEs, there is opportunity to grow the Business Banking portfolio to improve the direct support of SMEs.

The Bank services networks of SMEs via ecosystem banking. There remains a large ecosystem banking opportunity, linked to SME banking.

Social indicators The lending creates outcomes inclusive of various gender, youth and disabled groups. The survey evidence suggests that clients create equal gender, youth and some disability opportunities in the labour market. Also, the quality of jobs (proxied by access to skills development, health insurance and stability of employment) is positive.

Environmental indicators The lending improves environmental outcomes. An environmental and social risk management process is in place to mitigate the worst E&S risks. This process could be widened to include environmental value creation, more regular monitoring, better data collection, and environmental impact partnerships with clients.

Strategy & processes indicators Impact management is embedded across the Bank. While the impact journey at Standard Chartered in Ghana has started, impact processes are yet to be embedded beyond ESRM risk assessment procedures.

There is an impact strategy in place that informs the business strategy. While the impact journey at Standard Chartered in Ghana has started, an impact strategy is not yet in place. The idea of impact does not directly inform the lending process, except in the avoidance of environmental and social investment risks. 23 Opportunities to improve impact

One of the newly adopted principles is that positive impact should be reported alongside opportunities to improve impact further.

The report notes five areas where Standard Chartered in Ghana can improve impact:

1 Embedding impact as a core strategic driver; and strengthening internal impact processes;

2 Building impact partnerships with clients;

3 Directing more lending to the SDGs, national development goals and Opportunity 2030;

4 Building impact partnerships with government and the financial sector; and

5 Expanding eco-system banking.

Embedding impact as a business value creator Standard Chartered in Ghana has started on the journey to introduce impact considerations into the business. Greater impact could be achieved by more consciously aligning business to an impact strategy, and improving support to impact management processes.

To these ends, Standard Chartered in Ghana can:

Develop a holistic impact lending strategy based on Ghana’s SDG targets and other developmental priorities, and in support of the Sustainability Aspirations;

Design an economic, environmental and social impact framework to measure, manage and report on achievement of the impact strategy;

Undertake an educational project within the Bank to socialise the SDGs, the Sustainability Aspirations and Standard Chartered impact strategy in Ghana;

Improve data management and centralised storage of non-financial client information;

Reframe existing ESRM or create parallel processes to add a positive screen in the deployment of capital in support of SDGs and positive impact targets;

Ensure that impact is appropriately resourced and reflected in the Bank’s strategy.

Building impact partnerships with key clients Standard Chartered has a relationship with many leading companies in Ghana. This presents a powerful opportunity to work with partner clients to scale impact. Certainly, this will be unavoidable if Standard Chartered wants to assess the impact of lending more accurately in future because much information needed to measure outcomes is in the control of clients and not the Bank. The surveys undertaken for this study are an important addition to better understanding clients.

24 In particular, Standard Chartered in Ghana can:

Identify clients with shared sustainability aspirations to create partnerships and scale impact. Both parties can leverage commercial and technical capabilities towards commercially viable and sustainable outcomes at scale, raising both impact profiles.

Work with clients to maximise societal impact, including diversity and inclusion plans, climate and environmental strategy, and social strategy;

Develop sustainability or impact tools to help clients assess their own performance;

Link existing bank programmes under Pillar 3 of the Sustainability Aspirations: Inclusive Communities to clients’ gender and disability strategies by sharing learnings from the Banks’ Futuremakers programme and connecting young job seekers to clients.

Align more lending to the SDGs, national development goals, and Opportunity 2030 The SDGs provide financial institutions with the opportunity to lend to projects that meet the challenges facing the world. Pillar 1 of the Sustainability Aspirations supports SDGs 7, 8, 9, 10, 17 and 13.

Specifically, Standard Chartered in Ghana can:

Continue lending to infrastructure and manufacturing activities, and consider an increase in lending to greener infrastructure and projects aligned with the Sustainability Aspirations;

Consider increased lending to other developmental infrastructure in coordination with government priorities;

Consider increased lending to opportunities identified in Opportunity 2030 in energy, transport, digital access, and water and sanitation;

Consider increased lending to SMEs.

25 Prioritise more green and renewable infrastructure projects (in 2020, the Sustainability Aspirations were revised to include an aspiration on Climate Change with targets for green and renewable projects); and

Develop the first Ghanaian green and sustainability bond (Standard Chartered made progress in this regard when it launched a Sustainability Bond in 2019 which will focus on lower-income countries).33

Building impact partnerships with stakeholders and financial community Coordination and collaboration between financiers, large companies, government, and communities create a powerful force for progress.34 Achieving the SDGs will require more partnership.35

Standard Chartered can consider several areas for more partnership: Strong relationships and a long history in Ghana combined with the Bank’s structuring capability, position the Bank well to help diverse stakeholders work together. Standard Chartered in Ghana can build on existing relationships to strengthen the partnership with the government and to improve alignment between national development priorities and the financial sector.

Standard Chartered in Ghana can continue to lead in syndicating and structuring public-private financing towards Opportunity 2030 investment opportunities, and in working with the Ghana Infrastructure Development Fund.36

Standard Chartered in Ghana can play a lead role in syndicating and structuring public-private financing for important local manufacturing projects.

Expansion of ecosystem banking Ecosystem banking is a differentiator where Standard Chartered deploys customised solutions to best suit clients’ “ecosystems”. Ecosystem banking incentivises those who currently do not bank with Standard Chartered to access and use high quality banking services, and allows SMEs who would otherwise struggle to raise finance to improve credit-worthiness by supplying an existing client of the Bank. The research reveals an opportunity to grow the banking ecosystem with clients’ staff and clients’ suppliers. 26 A new approach and new opportunities to be “Here for good”

Standard Chartered is aiming to improve corporate impact reporting and has adopted a new approach to impact studies.

s Ghana looks to increase manufactured production and improve infrastructure, Standard Chartered’s lending to manufacturing and infrastructure clients does contribute to national development priorities in Ghana. The lending generated a total GDP contribution Aof $507 million and supported 121,809 jobs in the Ghanaian economy. The lending also contributes to the decent work agenda, including skills development, and there are indicators that clients are more inclusive of youth, different genders and disabled groups than national averages.

The new approach uses a mix of quantitative and qualitative research, including client surveys, and so can provide a fuller view of impact than traditional impact reporting. It has the benefit of taking the local developmental priorities into account, of considering economic, social and environmental indicators, of feeding evidence to the Sustainability Aspirations, and of assessing how far the Bank has come in embedding impact management and strategy in national markets. It also allows for the articulation of positive impact while simultaneously reporting on opportunities to increase impact.

There is clearly an opportunity for Standard Chartered in Ghana to expand its scope of impact by collaborating with clients on inclusion, diversity, SME development and environmental protection. The research also identifies an opportunity to be more strategic about achieving impact, to integrate impact into the strategy of the Bank, to embed impact considerations into all operations, to direct more lending to identified areas to establish impact partnerships with government and key clients, to integrate impact into branding and strategic communications, and to improve the collection of impact-related data and information. 27 Appendix

Appendix 1 Conceptual approach to the economic modelling

PART B PART A Linking the PART C Assessing the Loan Book Quantifying Loan Book to Economic the Impact Impact

SCB provides loans to The economic impact We use a Social Accounting companies in the infrastructure modelling links loans provided Matrix (SAM) for Ghana and manufacturing sectors. by SCB to the resulting for 20152 to model the Credit products include: term economic impact throughout economic impact loans; trade loans; corporate the Ghanaian economy. This finance; and overdrafts. is essentially calculating the economic impact that can be attributed to the credit provided by SCB. What is a SAM? This is done by calculating A SAM provides a structural Loan beneficiary a Capital Intensity Ratio blueprint of the economy and spends the loan based on the capital/ maps relationships between output per sector.1 sectors i.e. backward and forward linkages showing sectors that provide goods/ services to companies, and the goods/services Operating Capital that the company supplies costs investment Low capital High capital to other companies. (e.g. salaries, (e.g. intensity intensity monthly building a 20% 27% expenses) factory) lower than higher than average. FI average. GS and BB client and CF client segments segments Direct Indirect Induced impact impact impact

Loans provided by SCB are used by companies for both operating costs and to fund capital investment. Industries that are granted loans to fund capital investment will increase the economic output within that industry. Therefore, we have derived a methodology to link the capital intensity of a sector to the economic impact that is unlocked through the loan provided.

A distinction is also made between capital intensity of different types of clients. Client segments are then categorised in terms of low or high capital intensity.

Sources: 1. Bas, T., Muradoglu, G., & Phylaktis, K. (2009). Determinants of capital structure in developing countries. Cass Business School, London EC1Y 8TZ, UK. Retrieved 24 May 2017. 2. Ghana Statistical Services (GSS), the Institute of Statistical, Social and Economic Research (ISSER), and the International Food Policy Research Institute (IFPRI), SAM for Ghana 2015. Released on 8 May 2018. 28 Appendix 2 Social Accounting methodology

PART A PART B PART C PART D

Linking the Loan Quantifying Loan Book Data1 Book to Economic Direct Impact the Impact Impact

1. Loan data for 1. The loan data has 1. The SAM for The direct impact infrastructure and been linked to the Ghana is used to is the spending manufacturing economic sectors model the economic undertaken by the has been provided provided in the Social impact of the loans companies who by SCB Accounting Matrix provided by SCB. procure goods (SAM) for Ghana for and services 20152, which contains 2. The SAM is a using the loans 55 industries. blueprint of the provided by SCB. Ghanaian economy 2. The loan data and quantifies the ranges from: 2015 relationships between to 2019 for the sectors, showing 2. We have used Indirect Impact infrastructure book; how each sector each industry’s and 2010 to 2019 for links backward and capital intensity as the manufacturing forward, to other a ratio to scale the loan book. sectors, through economic impact and The indirect impacts its supply chain. therefore translate are the production, the loan amount into 3. The SAM has employment and an impact that flows industry-wide income changes 3. All loan data has through the whole estimates of value occurring in other been scaled up into economy. Therefore, added (GDP at factor businesses/industries 2019 prices, we the higher the level costs) and gross that supply inputs have accounted for of capital intensity, output (turnover into the loan annually occurring the larger the or gross value of beneficiaries. loans i.e. overdrafts. transmission between production) for obtaining a loan and each industry. economic impact. Capital intensity 4. Induced Impact data is sourced from 4. In cases where the Penn World there is missing data Table and then 3. The underlying for the year the loan disaggregated into assumption is that Employment created was granted, we have sectors using the for loans that are directly and indirectly, assumed that the loan SAM for Ghana. was provided in the channelled into creates disposable same year as the data more capital- 5. Applying these income for people provided for annual intensive industries ratios to the shock which they then turnover OR for 2019. unlock more values calculated use to consume economic impact. in PART B, yields goods and services. estimates of the This represents direct, indirect and the induced induced changes in economic impact. Time Series value added (GDP) Loan Data DRAFT REPORT and employment.

Sources: 1. SCB Ghana, Loan Book Data for Manufacturing & Infrastructure. 2. Ghana Statistical Services (GSS), the Institute of Statistical, Social and Economic Research (ISSER), and the International Food Policy Research Institute (IFPRI), SAM for Ghana 2015. Released on 8 May 2018. 3. Feenstra, Robert C., Robert Inklaar and Marcel P. Timmer (2015), “The Next Generation of the Penn World Table” American Economic Review, 105 (10), 3150-3182 29 Pillar 2: Responsible Company 2020 Sustainability Aspirations Pillar 2: Responsible Company 2020 Sustainability Aspirations Aspirations Targets: We will: Target date Appendix2020 3Sustainability Aspirations PillarAspirations 2: Responsible Company Targets: We will: Target date PeopleAspirations Targets:¼ Conduct We will:a feasibility analysis to incorporate a Living Wage into Target Jan 2019 date – Dec 2020 2020 Sustainability Sustainability Aspirations Aspirations Pillar 2: Responsible Company ¼ Conduct a feasibility analysis to incorporate a Living Wage into Jan 2019 – Dec 2020 OurAspirationsPeople people are our greatest asset, and our Targets:¼ Conductagreements We will:a feasibility for all non-employed analysis to incorporate workers a Living Wage into Target Jan 2019 date – Dec 2020 PillarPeople 2: Responsible Company agreements for all non-employed workers 2020 Sustainability Aspirations diversityOur people drives are ourour businessgreatest asset,success and our ¼ Completeagreements disability for all non-employed confdence assessments workers for 44 of our Jan 2020 – Dec 2020 2020 Sustainability Aspirations PeopleOurAspirations people are our greatest asset, and our Targets:¼ Conduct We will:a feasibility analysis to incorporate a Living Wage into Target Jan 2019 date – Dec 2020 ¼ Our Sustainability Aspirations build on our three sustainability pillars with measurable targets to show how we are achieving sustainable outcomes diversityAspirations drives our business success Targets:¼ agreementsCompletelarger Wemarkets will: disability for all non-employed confdence assessments workers for 44 of our TargetJan 2020 date – Dec 2020 Our people are our greatest asset, and our ¼ Conduct a feasibility analysis to incorporate a Living Wage into Jan 2019 – Dec 2020 Ouracross Sustainability our business. Aspirations These also build allow on ourus tothree demonstrate sustainability how pillars we support with measurable the United targets Nations to Sustainableshow how we Development are achieving Goals sustainable (SDGs). outcomes People larger markets Peoplediversity drives our business success ¼ CompleteagreementsConductEmbed an a disabilityintegratedfeasibility for all non-employed confdence analysis health and to assessmentsincorporate wellbeing workers strategy a forLiving 44 toofWage supportour into Jan 20202019 – Dec 20202021 across our business. These also allow us to demonstrate how we support the United Nations Sustainable Development Goals (SDGs). Our people are our greatest asset, and our ¼ Ouracross Sustainability our business. Aspirations These also build allow on ourus tothree demonstrate sustainability how pillars we support with measurable the United targets Nations to Sustainableshow how we Development are achieving Goals sustainable (SDGs). outcomes ¼ largerEmbedagreementsbuilding markets anand integrated forre-skilling all non-employed health a future-ready, and wellbeing workers diverse strategy workforce to support Jan 2020 – Dec 2021 diversityOur people drives are ourour businessgreatest asset,success and our ¼ Complete disability confdence assessments for 44 of our Jan 2020 – Dec 2020 Pillar one: Sustainable Finance building and re-skilling a future-ready, diverse workforce Ouracross Sustainability our business. Aspirations These also build allow on ourus tothree demonstrate sustainability how pillars we support with measurable the United targets Nations to Sustainableshow how we Development are achieving Goals sustainable (SDGs). outcomes diversity drives our business success ¼ EmbedlargerCompleteSupport markets an all disabilityintegratedemployees confdence health to develop and assessments wellbeing a personalised strategy for 44 growth toof supportour plan to Jan 2020 – Dec 20212020 Pillar one: Sustainable Finance ¼ OurPillar Sustainability one: Sustainable Aspirations build Finance on our three sustainability pillars with measurable targets to show how we are achieving sustainable outcomes ¼ Supportlargerrefect marketsthe all future employees skills needed to develop to respond a personalised to the changing growth plan and to Jan 2020 – Dec 2021 Aspirationsacross our business. These also allow us to demonstrateTargets: how We will we work support with ourthe clientsUnited to: Nations Sustainable Development GoalsTarget (SDGs). date ¼ Embedbuilding anand integrated re-skilling health a future-ready, and wellbeing diverse strategy workforce to support Jan 2020 – Dec 2021 across our business. These also allow us to demonstrate how we support the United Nations Sustainable Development Goals (SDGs). digitisedrefect the nature future of skills work needed to respond to the changing and PillarAspirations one: Sustainable Finance Targets: We will work with our clients to: Target date ¼ Embedrefect the an future integrated skills healthneeded and to respondwellbeing to strategy the changing to support and Jan 2020 – Dec 2021 Aspirations Targets:¼ Provide We project will work fnancing with our services clients to: for $40 billion of infrastructure TargetJan 2020 date – Dec 2024 digitisedSupportbuilding andallnature employees re-skilling of work ato future-ready, develop a personalised diverse workforce growth plan to Jan 2020 – Dec 2021 Infrastructure ¼ Increasedigitised naturegender of representation: work 35% women in senior roles with Sept 2016 – Dec 2024 Pillar one: Sustainable Finance ¼ refectbuilding the and future re-skilling skills needed a future-ready, to respond diverse to the workforce changing and EveryoneAspirationsInfrastructure should have access to safe, reliable Targets:¼ Provideprojects We project thatwill workpromote fnancing with sustainableour services clients to: fordevelopment $40 billion ofthat infrastructure align to our TargetJan 2020 date – Dec 2024 ¼ Support all employees to develop a personalised growth plan to Jan 2020 – Dec 2021 PillarInfrastructure one: Sustainable Finance ¼ digitisedIncreasean interim naturegender target: of representation: work 35% women in senior roles with Sept 2016 – Dec 2024 andEveryone affordable should power have andaccess infrastructure to safe, reliable which projectsverifed Green that promote and Sustainable sustainable Product development Framework that align to our ¼ refectSupport the all future employees skills needed to develop to respond a personalised to the changing growth plan and to Jan 2020 – Dec 2021 EveryoneAspirations should have access to safe, reliable Targets:¼ Provide We project will work fnancing with our services clients to: for $40 billion of infrastructure TargetJan 2020 date – Dec 2024 an– Decinterim 2020: target: 30% Infrastructure verifed Green and Sustainable Product Framework ¼ Increasedigitisedrefect the naturegender future of skillsrepresentation: work needed to 35%respond women to the in changingsenior roles and with Sept 2016 – Dec 2024 andtransformsAspirations affordable lives power and strengthens and infrastructure economies which Targets:verifed We Green will work and with Sustainable our clients Product to: Framework Target date – Dec 2020: 30% Everyone should have access to safe, reliable ¼ Provideprojects projectthat promote fnancing sustainable services fordevelopment $40 billion ofthat infrastructure align to our Jan 2020 – Dec 2024 ¼ digitisedIncrease– Dec 2020: natureour ‘Culture 30% of work of Inclusion’ score to 84.5% with an interim Jan 2020 – Dec 2024 transformsInfrastructure lives and strengthens economies ¼ Catalyse $5 billion of fnance via blended fnance transactions Jan 2020 – Dec 2024 ¼ Increasean interim gender target: representation: 35% women in senior roles with Sept 2016 – Dec 2024 ¼ verifed Green and Sustainable Product Framework ¼ andInfrastructure affordable power and infrastructure which ¼ Provideprojects projectthat promote fnancing sustainable services fordevelopment $40 billion ofthat infrastructure align to our Jan 2020 – Dec 2024 ¼ Increase–target: our ‘Culture of Inclusion’ score to 84.5% with an interim Jan 2020 – Dec 2024 Everyone should have access to safe, reliable ¼ Catalyse $5 billion of fnance via blended fnance transactions Jan 2020 – Dec 2024 ¼ anIncrease Decinterim 2020: gender target: 30% representation: 35% women in senior roles with Sept 2016 – Dec 2024 Everyonetransforms should lives and have strengthens access to safe,economies reliable verifedprojects Green that promote and Sustainable sustainable Product development Framework that align to our –target: Dec 2021: 80% and affordable power and infrastructure which ¼ –antarget: interim target: ¼ –Increase Dec 2020: our ‘Culture 30% of Inclusion’ score to 84.5% with an interim Jan 2020 – Dec 2024 transformsand affordable lives power and strengthens and infrastructure economies which Catalyseverifed Green $5 billion and ofSustainable fnance via Product blended Framework fnance transactions Jan 2020 – Dec 2024 – Dec 2021: 80% ¼ Reducetarget:– Dec 2020:2021: annual 30%80% greenhouse gas emissions (Scope 1 and 2) to Jan 2019 – Dec 2030 transforms lives and strengthens economies Environment ¼ Increase our ‘Culture of Inclusion’ score to 84.5% with an interim Jan 2020 – Dec 2024 ¼ Catalyse $5 billion of fnance via blended fnance transactions Jan 2020 – Dec 2024 ¼ Climate change ¼ Provide $35 billion worth of project fnancing services, M&A Jan 2020 – Dec 2024 Environment ¼ Increasenet–Reduce Dec zero 2021: annualbyour 2030 ‘Culture 80% greenhouse with of an Inclusion’ interim gas emissionstarget: score to 84.5% (Scope with 1 and an 2)interim to Jan 20202019 – Dec 20302024 ¼ Catalyse $5 billion of fnance via blended fnance transactions Jan 2020 – Dec 2024 EnvironmentReducing our own impact on the environment target:Reduce annual greenhouse gas emissions (Scope 1 and 2) to Jan 2019 – Dec 2030 ¼ Climate change change is one of today’s greatest ¼ Provideadvisory, $35 debt billion structuring, worth of transaction project fnancing banking services, and lending M&A Jan 2020 – Dec 2024 willReducing protect our our own planet impact for the on beneft the environment of our nettarget:– Dec zero 2025: by 2030 60,000 with tCOan interime target: Climate change Provide $35 billion worth of project fnancing services, M&A Jan 2020 – Dec 2024 Reducing our own impact on the environment ¼ Reduce– Dec 2021: annual 80% greenhouse 2 gas emissions (Scope 1 and 2) to Jan 2019 – Dec 2030 advisory, debt structuring, transaction banking and lending Environment – challengesClimate change and addressingis one of today’s it is essential greatest to advisory,services fordebt renewable structuring, energy transaction that align banking to our verifedand lending Green communitieswill protect our planet for the beneft of our – Dec 2021:2025: 80%60,000 tCO2e Climate change is one of today’s greatest ¼ will protect our planet for the beneft of our netDec zero 2025: by 2030 60,000 with tCOan interim2e target: Climate change Provideservices $35for renewable billion worth energy of project that alignfnancing to our services, verifed M&AGreen Jan 2020 – Dec 2024 EnvironmentReducing our own impact on the environment ¼ ReduceSource all annual energy greenhouse from renewable gas emissions sources (Scope 1 and 2) to Jan 20192020 – Dec 2030 challengespromote sustainable and addressing economic it is essentialgrowth to servicesand Sustainable for renewable Product energy Framework that align to our verifed Green communities advisory, debt structuring, transaction banking and lending will protect our planet for the 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clients Jan 2020 – Dec 2024 our clients ¼ Developannual Threats enhanced and internalThemes policies Report and guidelines on privacy, Jan 2020 – Dec 2021 GoodConductare essential conduct in achievingand high ethical fair outcomes standards for ¼ DevelopSpeakingLearndata ethics from enhanced Up risksand programme algorithmicidentifed internal andthrough policiesfairness, conduct concerns and and plansguidelines embed raised and a publishonnew via privacy, our an JanOngoing 2020 – Dec 2021 Entrepreneurscreating jobs and are empowering the heart of localpeople economies, ¼ Provide(Business $15 Banking) billion of fnancing to small business clients Jan 2020 – Dec 2024 ¼ Provide $3 billion of fnancing to microfnance institutions Jan 2020 – Dec 2024 Goodour clients conduct and high ethical standards dataannualSpeakinggovernance ethics Threats Up and framework programme and algorithmic Themes for and allfairness, Report data-related conduct and plans embed risks and a publishnew an (Business Banking) are essential in achieving fair outcomes for ¼ Develop enhanced internal policies and guidelines on privacy, Jan 2020 – Dec 2021 creatingEntrepreneurs jobs and are empowering the heart of localpeople economies, annualgovernance Threats framework and Themes for all Report data-related risks ¼ Provide $3 billion of fnancing to microfnance institutions Jan 2020 – Dec 2024 ourare essentialclients in achieving fair outcomes for governance framework for all data-related risks creatingCommerce jobs and empowering people ¼ Bank 10,000 of our clients’ international and domestic Jan 2020 – Dec 2024 ¼ Developdata ethics enhanced and algorithmic internal policiesfairness, and and guidelines embed a onnew privacy, Jan 2020 – Dec 2021 ¼ our clients ¼ Provide $3 billion of fnancing to microfnance institutions Jan 2020 – Dec 2024 Financial crime compliance ¼ governanceTackle fnancial framework crimes such for all as data-related illegal wildlife risks trade (IWT) by Ongoing TradeCommerce creates jobs and contributes to economies ¼ Banknetworks 10,000 of suppliers of our clients’ and buyers international through and banking domestic the Jan 2020 – Dec 2024 ¼ dataDevelop ethics enhanced and algorithmic internal policiesfairness, and and guidelines embed a onnew privacy, Jan 2020 – Dec 2021 Financial crime compliance ¼ developingTackle fnancial red fagscrimes for such fnancial as illegal fows, wildlife training trade frontline (IWT) staffby to Ongoing byTrade enabling creates people jobs and to connect contributes across to economiesborders networksecosystem of programmes suppliers and buyers through banking the Financial crime crime has compliance serious social and ¼ governancedataTackle ethics fnancial and framework crimesalgorithmic such for allfairness, as data-related illegal and wildlife embed risks trade a (IWT)new by Ongoing TradeCommerce creates jobs and contributes to economies ¼ Bank 10,000 of our clients’ international and domestic Jan 2020 – Dec 2024 identifydeveloping potential red fags suspicious for fnancial transactions fows, training and participating frontline staff in to by enabling people to connect across borders ecosystem programmes Financialeconomic crime consequences, has serious harming social and governancedeveloping red framework fags for forfnancial all data-related fows, training risks frontline staff to by enabling people to connect across borders networks of suppliers and buyers through banking the Financial crime compliance ¼ identifyTackle fnancial potential crimes suspicious such transactionsas illegal wildlife and trade participating (IWT) by in Ongoing TradeCommerce creates jobs and contributes to economies ¼ Bank 10,000 of our clients’ international and domestic Jan 2020 – Dec 2024 economicindividuals consequences,and communities harming identifypublic-private potential partnerships suspicious to transactions share intelligence and participating and good practicesin ecosystem programmes Financial crime has serious social and ¼ Tacklepublic-privatedeveloping fnancial red partnerships fagscrimes for such fnancial to as share illegal fows, intelligence wildlife training trade frontlineand (IWT) good staffby practices to Ongoing TradebyCommerce enabling creates people jobs and to connect contributes across to economiesborders ¼ Banknetworks 10,000 of suppliers of our clients’ and buyers international through and banking domestic the Jan 2020 – Dec 2024 individualsFinancial andcrime communities compliance public-private partnerships to share intelligence and good practices economic consequences, harming ¼ Deliveridentify atpotential least 18 suspicious correspondent transactions banking and academies participating in Jan 2020 – Dec 2020 ecosystemnetworks of programmes suppliers and buyers through banking the Financial crime crime has compliance serious social and developingTackle fnancial red fagscrimes for such fnancial as illegal fows, wildlife training trade frontline (IWT) staffby to Ongoing byTrade enabling creates people jobs and to connect contributes across to economiesborders ¼ individuals and communities ¼ identifydevelopingDeliverpublic-private atpotential least red partnerships 18fags suspicious correspondent for fnancial to transactions share fows, banking intelligence training and academies participating frontlineand good staff practicesin to Jan 2020 – Dec 2020 by enabling people to connect across borders ¼ ecosystem programmes economicFinancial crime consequences, has serious harming social and Deliver at least 18 correspondent banking academies Jan 2020 – Dec 2020 Digital Roll out digital-only bank in a total of 12 markets and Jan 2020 – Dec 2021 identify potential suspicious transactions and participating in ¼ individualseconomic consequences,and communities harming public-private partnerships to share intelligence and good practices EveryoneDigital should have access to digital ¼ Rolldouble out the digital-only number bankof clients in a totalwe bank of 12 in markets Africa to and 3.2 million Jan 2020 – Dec 2021 ¼ Deliver at least 18 correspondent banking academies Jan 2020 – Dec 2020 Digital Roll out digital-only bank in a total of 12 markets and Jan 2020 – Dec 2021 individuals and communities public-private partnerships to share intelligence and good practices bankingEveryone products should have enabling access safe, to effcientdigital and double the number of clients we bank in Africa to 3.2 million ¼ EveryoneDigital should have access to digital ¼ Roll out digital-only bank in a total of 12 markets and Jan 2020 – Dec 2021 Deliver at least 18 correspondent banking academies Jan 2020 – Dec 2020 bankinginclusive productsbanking enabling safe, effcient and ¼ Deliver at least 18 correspondent banking academies Jan 2020 – Dec 2020 Everyone should have access to digital ¼ Rolldouble out the digital-only number bankof clients in a totalwe bank of 12 in markets Africa to and 3.2 million Jan 2020 – Dec 2021 Pillar 3: Inclusive Communities inclusiveDigital banking bankingDigital products enabling safe, effcient and ¼ Rolldouble out the digital-only number bankof clients in a totalwe bank of 12 in markets Africa to and 3.2 million Jan 2020 – Dec 2021 Pillar 3: Inclusive Communities Everyone should have access to digital Aspirations Targets: We will: Target dates bankingEveryoneinclusive productsbanking should have enabling access safe, to effcientdigital and double the number of clients we bank in Africa to 3.2 million PillarAspirations 3: Inclusive Communities Targets: We will: Target dates inclusivebanking productsbanking enabling safe, effcient and Community engagement ¼ Invest 0.75% of prior year operating proft (PYOP) Jan 2006 – Dec 2020 Pillar 3: Inclusive Communities ¼ inclusive banking HealthAspirationsCommunity and education engagement are vital for thriving Targets:¼ Investin our We communities0.75% will: of prior year operating proft (PYOP) TargetJan 2006 dates – Dec 2020 ¼ Introduce ESG scores for equity investments for Private Jan 2020 – Dec 2020 PillarCommunity 3: Inclusive engagement Communities Impact fnance Health and education are vital for thriving in our communities ¼ HealthandAspirations prosperous and education communities are vital for thriving Targets:in our Wecommunities will: Target dates ImpactInnovative fnance fnancial products and partnerships ¼ IntroduceBanking clients ESG scoresallowing for them equity to investmentstailor their investment for Private choices Jan 2020 – Dec 2020 Community engagement ¼ RaiseInvest $50m0.75% for of Futuremakersprior year operating by Standard proft (PYOP) Chartered Jan 20192006 –– DecDec 20232020 andAspirations prosperous communities Targets: We will: Target dates canInnovative help us fnancial solve global products development and partnerships challenges Bankingin a sustainable clients allowingmanner them to tailor their investment choices Health and education are vital for thriving ¼ Raisein our $50mcommunities for Futuremakers by Standard Chartered Jan 2019 – Dec 2023 Innovative fnancial products and partnerships ¼ Introduce ESG scores for equity investments for Private Jan 2020 – Dec 2020 Community engagement ¼ RaiseInvest $50m0.75% for of Futuremakersprior year operating by Standard proft (PYOP) Chartered Jan 20192006 –– DecDec 20232020 canImpact help fnanceus solve global development challenges in a sustainable manner ¼ Education: Reach one million girls and young women through Goal Jan 2006 – Dec 2023 canand helpimprove us solve the lives global of millionsdevelopment in our marketschallenges in a sustainable manner HealthandCommunity prosperous and education engagement communities are vital for thriving ¼ inInvest our communities0.75% of prior year operating proft (PYOP) Jan 2006 – Dec 2020 Innovative fnancial products and partnerships ¼ IntroduceBanking clients ESG scoresallowing for them equity to investmentstailor their investment for Private choices Jan 2020 – Dec 2020 ¼ Education:Raise $50m Reach for Futuremakers one million girls by Standard and young Chartered women through Goal Jan 20192006 –– DecDec 20232023 andImpact improve fnance the lives of millions in our markets ¼ Develop a tailored Impact Profle for all Private Bank clients providing Jan 2020 – Dec 2024 Health and education are vital for thriving ¼ inEducation: our communities Reach one million girls and young women through Goal Jan 2006 – Dec 2023 ¼ in a sustainable manner and prosperous communities ¼ Employability: Reach 100,000 young people Jan 2019 – Dec 2023 InnovativeImpactcan help fnanceus fnancial solve global products development and partnerships challenges ¼ DevelopIntroduceaBanking framework aclients ESGtailored that scoresallowing enables Impact for them equitythemProfle to to investmentstailorfor understand all theirPrivate investment for Banktheir Private passionsclients choices providing and Jan 2020 – Dec 20242020 ¼ Raise $50m for Futuremakers by Standard Chartered Jan 2019 – Dec 2023 ¼ Develop a tailored Impact Profle for all Private Bank clients providing Jan 2020 – Dec 2024 and prosperous communities ¼ Employability:Education: Reach Reach one 100,000 million girls young and people young women through Goal Jan 20192006 –– DecDec 20232023 canInnovativeand helpimprove us fnancial solve the lives global products of millionsdevelopment and in partnerships our marketschallenges harnessainBanking frameworka sustainable capitalclients that marketallowingmanner enables solutions them them to to totailor understand support their investment the their SDGs passions choices and ¼ RaiseEmployability: $50m for Reach Futuremakers 100,000 byyoung Standard people Chartered Jan 2019 – Dec 2023 a framework that enables them to understand their passions and ¼ Entrepreneurship: Reach 50,000 young people, and micro and Jan 2019 – Dec 2023 can help us solve global development challenges ¼ Developin a sustainable a tailored manner Impact Profle for all Private Bank clients providing Jan 2020 – Dec 2024 ¼ Education: Reach one million girls and young women through Goal Jan 2006 – Dec 2023 and improve the lives of millions in our markets harness capital market solutions to support the SDGs ¼ Employability: Reach 100,000 young people Jan 2019 – Dec 2023 a framework that enables them to understand their passions and ¼ Education:Entrepreneurship:small businesses Reach Reachone million 50,000 girls young and young people, women and micro through and Goal Jan 20062019 –– DecDec 20232023 and improve the lives of millions in our markets ¼ IncreaseDevelop athe tailored proportion Impact of ProflePrivate for Bank all Private investment Bank solutions clients providing Jan 2020 – Dec 2024 harness capital market solutions to support the SDGs ¼ small businessesEmployability: Reach 100,000 young people Jan 2019 – Dec 2023 ¼ Developa framework a tailored that enables Impact themProfle to for understand all Private Banktheir passionsclients providing and Jan 2020 – Dec 2024 ¼ Entrepreneurship: Reach 50,000 young people, and micro and Jan 2019 – Dec 2023 ¼ Increase(across funds, the proportion bonds, structured of Private productsBank investment and discretionary solutions Jan 2020 – Dec 2024 ¼ Employability:Support the development Reach 100,000 of the young Vision people Catalyst Fund Jan 2019 – Dec 20232020 harnessa framework capital that market enables solutions them to to understand support the their SDGs passions and ¼ small businesses (acrossmandates) funds, with bonds, a sustainability structured lens products from below and discretionary10% to 50% ¼ SupportEntrepreneurship: the development Reach 50,000 of the Vision young Catalyst people, Fundand micro and Jan 2019 – Dec 20202023 ¼ Increaseharness capitalthe proportion market solutionsof Private to Bank support investment the SDGs solutions Jan 2020 – Dec 2024 ¼ Increase participation for employee volunteering to 55% Jan 2020 – Dec 2023 mandates) with a sustainability lens from below 10% to 50% ¼ small businessesEntrepreneurship: Reach 50,000 young people, and micro and Jan 2019 – Dec 2023 (across funds, bonds, structured products and discretionary ¼ Support the development of the Vision Catalyst Fund Jan 2019 – Dec 2020 ¼ Increase the proportion of Private Bank investment solutions Jan 2020 – Dec 2024 ¼ small businessesIncrease participation for employee volunteering to 55% Jan 2020 – Dec 2023 ¼ Increase(acrossmandates) funds, the with proportion bonds, a sustainability structured of Private lens productsBank from investment below and discretionary10% solutions to 50% Jan 2020 – Dec 2024 ¼ Support the development of the Vision Catalyst Fund Jan 2019 – Dec 2020 ¼ Increase participation for employee volunteering to 55% Jan 2020 – Dec 2023 mandates)(across funds, with bonds, a sustainability structured lens products from below and discretionary10% to 50% ¼ Support the development of the Vision Catalyst Fund Jan 2019 – Dec 2020 mandates) with a sustainability lens from below 10% to 50% ¼ Increase participation for employee volunteering to 55% Jan 2020 – Dec 2023 30 ¼ Increase participation for employee volunteering to 55% Jan 2020 – Dec 2023 Pillar 2: Responsible Company 2020 Sustainability Aspirations Pillar 2: Responsible Company 2020 Sustainability Aspirations PillarAspirations 2: Responsible Company Targets: We will: Target date 2020 Sustainability Aspirations PillarAspirations 2: Responsible Company Targets:¼ Conduct We will:a feasibility analysis to incorporate a Living Wage into Target Jan 2019 date – Dec 2020 PillarAspirationsPeople 2: Responsible Company Targets: We will: Target date 2020 Sustainability Aspirations PillarOurPeople people 2: Responsibleare our greatest asset, Company and our ¼ Conductagreements a feasibility for all non-employed analysis to incorporate workers a Living Wage into Jan 2019 – Dec 2020 2020 Sustainability Aspirations Aspirations Targets:¼ agreementsConduct We will:a feasibility for all non-employed analysis to incorporate workers a Living Wage into Target Jan 2019 date – Dec 2020 OurdiversityAspirationsPeople people drives are ourour businessgreatest asset,success and our Targets:¼ Complete We will: disability confdence assessments for 44 of our TargetJan 2020 date – Dec 2020 2020 Sustainability Aspirations agreements for all non-employed workers Our Sustainability Aspirations build on our three sustainability pillars with measurable targets to show how we are achieving sustainable outcomes diversityOurAspirations people drives are ourour businessgreatest asset,success and our Targets:¼ CompletelargerConduct Wemarkets will:a disability feasibility confdence analysis to assessmentsincorporate a forLiving 44 ofWage our into TargetJan 20202019 date – Dec 2020 People ¼ Conduct a feasibility analysis to incorporate a Living Wage into Jan 2019 – Dec 2020 Our Sustainability Aspirations build on our three sustainability pillars with measurable targets to show how we are achieving sustainable outcomes diversity drives our business success ¼ Completeagreements disability for all non-employed confdence assessments workers for 44 of our Jan 2020 – Dec 2020 across our business. These also allow us to demonstrate how we support the United Nations Sustainable Development Goals (SDGs). PeopleOur people are our greatest asset, and our ¼ EmbedagreementsConductlarger markets an a integratedfeasibility for all non-employed analysis health and to incorporate wellbeing workers strategy a Living toWage support into Jan 20192020 – Dec 20202021 Our Sustainability Aspirations build on our three sustainability pillars with measurable targets to show how we are achieving sustainable outcomes Our people are our greatest asset, and our larger markets across our business. These also allow us to demonstrate how we support the United Nations Sustainable Development Goals (SDGs). diversity drives our business success ¼ Completeagreements disability for all non-employed confdence assessments workers for 44 of our Jan 2020 – Dec 2020 diversityOur people drives are ourour businessgreatest asset,success and our ¼ CompleteEmbedbuilding anand disabilityintegrated re-skilling confdence health a future-ready, and assessments wellbeing diverse strategy forworkforce 44 toof supportour Jan 2020 – Dec 20212020 Ouracross Sustainability our business. Aspirations These also build allow on ourus tothree demonstrate sustainability how pillars we support with measurable the United targets Nations to Sustainableshow how we Development are achieving Goals sustainable (SDGs). outcomes ¼ Embedlarger markets an integrated health and wellbeing strategy to support Jan 2020 – Dec 2021 OurPillar Sustainability one: Sustainable Aspirations build Finance on our three sustainability pillars with measurable targets to show how we are achieving sustainable outcomes diversity drives our business success ¼ SupportlargerCompletebuilding markets andall disability employees re-skilling confdence ato future-ready, develop assessments a personalised diverse forworkforce 44 growth of our plan to Jan 2020 – Dec 20212020 across our business. These also allow us to demonstrate how we support the United Nations Sustainable Development Goals (SDGs). building and re-skilling a future-ready, diverse workforce acrossOurPillar Sustainability ourone: business. Sustainable Aspirations These also build Finance allow on ourus tothree demonstrate sustainability how pillars we support with measurable the United targets Nations to Sustainableshow how we Development are achieving Goals sustainable (SDGs). outcomes ¼ SupportrefectEmbedlarger marketsthe an all future integratedemployees skills healthneeded to develop and to respondwellbeing a personalised to strategy the changing growth to support plan and to Jan 2020 – Dec 2021 PillarAspirations one: Sustainable Finance Targets: We will work with our clients to: Target date ¼ Embed an integrated health and wellbeing strategy to support Jan 2020 – Dec 2021 across our business. These also allow us to demonstrate how we support the United Nations Sustainable Development Goals (SDGs). ¼ refectdigitisedSupportbuilding the andallnature future employees re-skilling of skills work needed ato future-ready, develop to respond a personalised diverse to the workforce changing growth plan and to Jan 2020 – Dec 2021 Aspirations Targets: We will work with our clients to: Target date buildingEmbed anand integrated re-skilling health a future-ready, and wellbeing diverse strategy workforce to support Jan 2020 – Dec 2021 InfrastructurePillar one: Sustainable Finance ¼ Provide project fnancing services for $40 billion of infrastructure Jan 2020 – Dec 2024 ¼ buildingdigitisedrefect the andnature future re-skilling of skills work needed a future-ready, to respond diverse to the workforce changing and PillarAspirations one: Sustainable Finance Targets: We will work with our clients to: Target date ¼ IncreaseSupport allgender employees representation: to develop 35% a personalised women in senior growth roles plan with to SeptJan 2020 2016 – – Dec Dec 2021 2024 Infrastructure ¼ Provideprojects projectthat promote fnancing sustainable services fordevelopment $40 billion ofthat infrastructure align to our Jan 2020 – Dec 2024 digitisedSupport allnature employees of work to develop a personalised growth plan to Jan 2020 – Dec 2021 EveryonePillar one: should Sustainable have access to safe,Finance reliable ¼ Increaseanrefect interim the gender target:future skillsrepresentation: needed to 35%respond women to the in changingsenior roles and with Sept 2016 – Dec 2024 Aspirations Targets:¼ We will work with our clients to: Target date refectSupport the all future employees skills needed to develop to respond a personalised to the changing growth plan and to Jan 2020 – Dec 2021 EveryoneandAspirationsInfrastructure affordable should power have andaccess infrastructure to safe, reliable which Targets:projectsverifedProvide We Green project thatwill workpromote and fnancing with Sustainable sustainableour services clients Product to: fordevelopment $40 Framework billion ofthat infrastructure align to our TargetJan 2020 date – Dec 2024 ¼ digitisedrefect–anIncrease Decinterim the 2020: naturegender target:future 30% of skillsrepresentation: work needed to 35%respond women to the in changingsenior roles and with Sept 2016 – Dec 2024 andtransformsEveryoneInfrastructureAspirations affordable should lives power and have strengthens andaccess infrastructure to safe,economies reliable which Targets:¼ Provideverifedprojects We Green project thatwill workpromote and fnancing with Sustainable sustainableour services clients Product to: fordevelopment $40 Framework billion ofthat infrastructure align to our TargetJan 2020 date – Dec 2024 Infrastructure ¼ Provide project fnancing services for $40 billion of infrastructure Jan 2020 – Dec 2024 ¼ Increasedigitised–an Decinterim 2020: naturegender target: 30% of representation: work 35% women in senior roles with Sept 2016 – Dec 2024 and affordable power and infrastructure which verifed Green and Sustainable Product Framework ¼ Increase genderour ‘Culture representation: of Inclusion’ 35% score women to 84.5% in senior with anroles interim with SeptJan 2020 2016 – – Dec Dec 2024 2024 EveryonetransformsInfrastructure should lives and have strengthens access to safe,economies reliable ¼ ProvideCatalyseprojects projectthat $5 billionpromote fnancing of fnance sustainable services via blended fordevelopment $40 fnance billion ofthat transactions infrastructure align to our Jan 2020 – Dec 2024 – Dec 2020: 30% Everyone should have access to safe, reliable projects that promote sustainable development that align to our ¼ Increasetarget:an interim ourgender target: ‘Culture representation: of Inclusion’ 35% score women to 84.5% in senior with anroles interim with JanSept 2020 2016 – – Dec Dec 2024 2024 andtransforms affordable lives power and strengthens and infrastructure economies which ¼ Catalyseverifed Green $5 billion and ofSustainable fnance via Product blended Framework fnance transactions Jan 2020 – Dec 2024 an interim target: Everyone should have access to safe, reliable verifedprojects Green that promote and Sustainable sustainable Product development Framework that align to our ¼ Increase– Dec 2020: our ‘Culture 30% of Inclusion’ score to 84.5% with an interim Jan 2020 – Dec 2024 and affordable power and infrastructure which ¼ Catalyse $5 billion of fnance via blended fnance transactions Jan 2020 – Dec 2024 –target:an Decinterim 2020:2021: target: 30%80% andtransforms affordable lives power and strengthens and infrastructure economies which verifed Green and Sustainable Product Framework transforms lives and strengthens economies ¼ Increase–target: Dec 2021:2020: our ‘Culture 80%30% of Inclusion’ score to 84.5% with an interim Jan 2020 – Dec 2024 ¼ Catalyse $5 billion of fnance via blended fnance transactions Jan 2020 – Dec 2024 ¼ Increase our ‘Culture of Inclusion’ score to 84.5% with an interim Jan 2020 – Dec 2024 transforms lives and strengthens economies ¼ Catalyse $5 billion of fnance via blended fnance transactions Jan 2020 – Dec 2024 Environment –Reduce Dec 2021: annual 80% greenhouse gas emissions (Scope 1 and 2) to Jan 2019 – Dec 2030 ¼ Increasetarget: our ‘Culture of Inclusion’ score to 84.5% with an interim Jan 2020 – Dec 2024 Climate change ¼ CatalyseProvide $35 $5 billion ofworth fnance of project via blended fnancing fnance services, transactions M&A Jan 2020 – Dec 2024 ReducingEnvironment our own impact on the environment ¼ Reducenettarget: zero annualby 2030 greenhouse with an interim gas emissionstarget: (Scope 1 and 2) to Jan 2019 – Dec 2030 – ¼ Environment ¼ –Reducetarget: Dec 2021: annual 80% greenhouse gas emissions (Scope 1 and 2) to Jan 2019 – Dec 2030 Climate change change is one of today’s greatest Provideadvisory, $35 debt billion structuring, worth of transaction project fnancing banking services, and lending M&A Jan 2020 – Dec 2024 Reducingwill protect our our own planet impact for the on beneft the environment of our –net Dec zero 2025:2021: by 2030 60,00080% with tCOan interim2e target: – Climatechallenges change change and addressingis one of today’s it is essential greatest to ¼ advisory,servicesProvide $35 fordebt renewable billion structuring, worth energy of transaction project that alignfnancing banking to our services, verifedand lending M&AGreen Jan 2020 – Dec 2024 willcommunitiesReducing protect our our own planet impact for the on beneft the environment of our ¼ Reduce–net Dec zero 2025:2021: annualby 2030 60,00080% greenhouse with tCOan interime gas emissionstarget: (Scope 1 and 2) to Jan 2019 – Dec 2030 Environment ¼ Reduce annual greenhouse2 gas emissions (Scope 1 and 2) to Jan 2019 – Dec 2030 advisory, debt structuring, transaction banking and lending Environment ¼ Source– all energy from renewable sources Jan 2020 – Dec 2030 challengespromoteClimate change sustainable and addressingis one economic of today’s it is essentialgrowth greatest to ¼ Provideservicesand Sustainable $35for renewable billion Product worth energy ofFramework project that alignfnancing to our services, verifed M&AGreen Jan 2020 – Dec 2024 communitieswill protect our planet for the beneft of our netDec zero 2025: by 2030 60,000 with tCOan interim2e target: Climate change ¼ EnvironmentReducing our own impact on the environment ¼ netReduce zero annualby 2030 greenhouse with an interim gas emissionstarget: (Scope 1 and 2) to Jan 2019 – Dec 2030 Climate change andservicesProvide Sustainable $35for renewable billion Product worth energy ofFramework project that alignfnancing to our services, verifed M&AGreen Jan 2020 – Dec 2024 Reducing our own impact on the environment ¼ Source all energy from renewable sources Jan 2020 – Dec 2030 promotechallenges sustainable and addressing economic it is essentialgrowth to ¼ advisory, debt structuring, transaction banking and lending willcommunities protect our planet for the beneft of our – Dec 2025: 60,000 tCO e Climate change change is one of today’s greatest ¼ advisory,Provide $35 debt billion structuring, worth of transaction project fnancing banking services, and lending M&A Jan 2020 – Dec 2024 Reducing our own impact on the environment ¼ Join–net zero the Climateby 2030 Group with an ‘RE100’ interim2 target: Jan 2020 – Dec 2020 promoteClimate change sustainable is one economic of today’s growth greatest andDevelop Sustainable a methodology Product to Framework measure, manage and ultimately Jan 2019 – Dec 2020 will protect our planet for the beneft of our SourceDec 2025:all energy 60,000 from tCO renewable2e sources Jan 2020 – Dec 2030 challenges and addressing it is essential to advisory,services fordebt renewable structuring, energy transaction that align banking to our verifedand lending Green communities – Climate change is one of today’s greatest ¼ Developreduceservices the fora methodology COrenewable emissions energy to frommeasure, that the align activities manage to our we andverifed fnance ultimately Green Jan 2019 – Dec 2020 communitieswill protect our planet for the beneft of our ¼ JoinDec the 2025: Climate 60,000 Group tCO ‘RE100’2e Jan 2020 – Dec 2020 challenges and addressing it is essential to and Sustainable2 Product Framework ¼ Source all energy from renewable sources Jan 2020 – Dec 2030 challengespromote sustainable and addressing economic it is essentialgrowth to ¼ andservices Sustainable for renewable Product energy Framework that align to our verifed Green communities ¼ JoinSourceReduce the all ourClimate energy Scope Group from 3 value renewable ‘RE100’ chain emissions sources from business travel Jan 2020 – Dec 20302020 promote sustainable economic growth reduceDevelop the a methodology CO2 emissions to frommeasure, the activities manage we and fnance ultimately Jan 2019 – Dec 2020 ¼ Onlyand Sustainable provide fnancial Product services Framework to clients who are: Jan 2020 – Jan 2030 ¼ Reduceby 7%Source all our energy Scope from 3 value renewable chain emissions sources from business travel Jan 2020 – Dec 20302020 promote sustainable economic growth ¼ reduce the CO2 emissions from the activities we fnance ¼ Join the Climate Group ‘RE100’ Jan 2020 – Dec 2020 ¼ Develop a methodology to measure, manage and ultimately Jan 2019 – Dec 2020 ¼ Join the Climate Group ‘RE100’ Jan 2020 – Dec 2020 ¼ –OnlyDevelop By provide Jan a 2021,methodology fnancial less thanservices to 100% measure, to dependentclients manage who onare: and earnings ultimately from Jan 20202019 – DecJan 20302020 by 7%Reduce our Scope 3 value chain emissions from business travel Jan 2020 – Dec 2020 ¼ Developreduce the a methodology CO2 emissions to frommeasure, the activities manage we and fnance ultimately Jan 2019 – Dec 2020 ¼ IntroduceJoin the Climate an emissions Group ‘RE100’offset programme for Scope 3 travel Jan 2020 – Dec 2020 ¼ –Onlyreduce provide the CO fnancial2 emissions services from to the clients activities who weare: fnance Jan 2020 – Jan 2030 ¼ by 7% Bythermal Jan 2021,coal (based less than on %100% EBITDA dependent at group on level) earnings from ¼ Reduce our Scope 3 value chain emissions from business travel Jan 2020 – Dec 2020 reduce the CO2 emissions from the activities we fnance ¼ IntroduceemissionsReduce our an Scope emissions 3 value offset chain programme emissions for from Scope business 3 travel travel Jan 2020 – Dec 2020 ¼ Only– thermalBy provide Jan 2021,coal fnancial (based less thanservices on %100% EBITDA to dependentclients at whogroup onare: level) earnings from Jan 2020 – Jan 2030 by 7% ¼ OnlyBy provide Jan 2025, fnancial less thanservices 60% to dependent clients who on are: earnings from Jan 2020 – Jan 2030 ¼ Introduceby 7%Reduce our an Scope emissions 3 value offset chain programme emissions for from Scope business 3 travel travel Jan 2020 – Dec 2020 thermal coal (based on % EBITDA at group level) emissions ¼ – Bythermal Jan 2021,2025,coal (based less than on %100%60% EBITDA dependent dependent at group on on earningslevel) earnings from from ¼ by 7% –Only By provide Jan 2021, fnancial less thanservices 100% to dependentclients who onare: earnings from Jan 2020 – Jan 2030 emissionsReduce annual offce paper use by 57% to 10kg/headcount/year Jan 2012 – Dec 2020 – By Jan 2025, less than 60% dependent on earnings from ¼ Introduce an emissions offset programme for Scope 3 travel Jan 2020 – Dec 2020 – Bythermal Jan 2021,2027,coal (based less than on %100%40% EBITDA dependent dependent at group on on earningslevel) earnings from from ¼ ReduceIntroduce annual an emissions offce paper offset use programme by 57% to for 10kg/headcount/year Scope 3 travel Jan 20202012 – Dec 2020 thermal coal (based on % EBITDA at group level) ¼ emissions – Bythermal Jan 2025,2027,coal (based less than on %60%40% EBITDA dependent at group on earningslevel) from ¼ ReduceemissionsIntroduce annualwaste an emissions peroffce colleague paper offset use toprogramme 40kgby 57% to for 10kg/headcount/year Scope 3 travel Jan 20202012 – Dec 20202025 – Bythermal Jan 2025,coal (based less than on %60% EBITDA dependent at group on earningslevel) from – By Jan 2027, less than 40% dependent on earnings from ¼ Reduceemissions waste per colleague to 40kg Jan 2020 – Dec 2025 – Bythermal Jan 2025,2030,coal (based less than on %60%10% EBITDA dependent at group on earningslevel) from ¼ Reduce annual offce paper use by 57% to 10kg/headcount/year Jan 2012 – Dec 2020 thermal coal (based on % EBITDA at group level) ¼ ReduceRecycle wasteannual90% of peroffce waste colleague paper use to 40kgby 57% to 10kg/headcount/year Jan 20202012 – Dec 20202025 – Bythermal Jan 2027,2030,coal (based less than on %40%10% EBITDA dependent at group on earningslevel) from – Bythermal Jan 2027,coal (based less than on %40% EBITDA dependent at group on earningslevel) from ¼ RecycleReduce annual90% of offce waste paper use by 57% to 10kg/headcount/year Jan 20202012 – Dec 20202025 – thermalBy Jan 2030,coal (based less than on %10% EBITDA dependent at group on earningslevel) from ¼ Reduce waste per colleague to 40kg Jan 2020 – Dec 2025 – thermalBy Jan 2027,coal (based less than on %40% EBITDA dependent at group on earningslevel) from Conduct ¼ RecycleReduceLearn from waste90% risks of per wasteidentifed colleague through to 40kg concerns raised via our JanOngoing 2020 – Dec 2025 Entrepreneurs ¼ Providethermal $15 coal billion (based of fnancing on % EBITDA to small at business group level) clients Jan 2020 – Dec 2024 – thermalBy Jan 2030,coal (based less than on %10% EBITDA dependent at group on earningslevel) from Conduct ¼ LearnSpeakingReduce from waste Up risks programme per identifed colleague andthrough to conduct 40kg concerns plans raised and publish via our an OngoingJan 2020 – Dec 2025 Entrepreneurs ¼ Provide(Business– By Jan $15 Banking)2030, billion less of thanfnancing 10% to dependent small business on earnings clients from Jan 2020 – Dec 2024 Good conduct and high ethical standards ¼ Recycle 90% of waste Jan 2020 – Dec 2025 Entrepreneurs are the heart of local economies, thermal coal (based on % EBITDA at group level) Conduct ¼ SpeakingannualLearnRecycle from Threats 90% Up risks programmeof and wasteidentifed Themes andthrough Report conduct concerns plans raised and publish via our an OngoingJan 2020 – Dec 2025 Entrepreneurs ¼ Provide– thermalBy Jan $15 2030,coal billion (based less of thanfnancing on %10% EBITDA to dependent small at business group on earningslevel) clients from Jan 2020 – Dec 2024 Goodare essential conduct in achievingand high ethical fair outcomes standards for Entrepreneurscreating jobs and are empowering the heart of localpeople economies, (Business Banking) ¼ SpeakingRecycle 90% Up programmeof waste and conduct plans and publish an Jan 2020 – Dec 2025 ¼ thermal coal (based on % EBITDA at group level) ConductareourGood essentialclients conduct in achievingand high ethical fair outcomes standards for ¼ Learnannual from Threats risks and identifed Themes through Report concerns raised via our Ongoing creatingEntrepreneurs jobs and are empowering the heart of localpeople economies, ¼ Provide(Business $15$3 Banking) billion billion of of fnancing fnancing to to microfnance small business institutions clients Jan 2020 – Dec 2024 Conduct ¼ Learn from risks identifed through concerns raised via our Ongoing Entrepreneurs ¼ are essential in achieving fair outcomes for annualDevelop Threats enhanced and internalThemes policies Report and guidelines on privacy, Jan 2020 – Dec 2021 Entrepreneurs ¼ Provide $3$15 billion billion of of fnancing fnancing to to microfnance small business institutions clients Jan 2020 – Dec 2024 ConductGoodour clients conduct and high ethical standards ¼ LearnSpeaking from Up risks programme identifed andthrough conduct concerns plans raised and publish via our an Ongoing Entrepreneurscreating jobs and are empowering the heart of localpeople economies, ¼ (Business Banking) Good conduct and high ethical standards ¼ DevelopdataSpeaking ethics enhanced Up and programme algorithmic internal and policiesfairness, conduct and and plansguidelines embed and a publishonnew privacy, an Jan 2020 – Dec 2021 Entrepreneurs are the heart of local economies, ¼ Provide(Business $3$15 Banking) billion billion of of fnancing fnancing to to microfnance small business institutions clients Jan 2020 – Dec 2024 our clients annual Threats and Themes Report Goodare essential conduct in achievingand high ethical fair outcomes standards for ¼ DevelopannualSpeaking Threats enhanced Up programme and internalThemes and policies Report conduct and plansguidelines and publishon privacy, an Jan 2020 – Dec 2021 Entrepreneurscreating jobs and are empowering the heart of localpeople economies, (Business Banking) are essential in achieving fair outcomes for datagovernance ethics and framework algorithmic for allfairness, data-related and embed risks a new creating jobs and empowering people ¼ Provide $3 billion of fnancing to microfnance institutions Jan 2020 – Dec 2024 areour essentialclients in achieving fair outcomes for annual Threats and Themes Report ¼ Provide $3 billion of fnancing to microfnance institutions Jan 2020 – Dec 2024 our clients ¼ Developgovernancedata ethics enhanced and framework algorithmic internal for allpoliciesfairness, data-related and and guidelines embed risks a onnew privacy, Jan 2020 – Dec 2021 creating jobs and empowering people ¼ Develop enhanced internal policies and guidelines on privacy, Jan 2020 – Dec 2021 Commerce ¼ ProvideBank 10,000 $3 billion of our of fnancingclients’ international to microfnance and domestic institutions Jan 2020 – Dec 2024 our clients governance framework for all data-related risks ¼ TackleDevelopdata ethics fnancial enhanced and crimesalgorithmic internal such policiesfairness, as illegal and and wildlife guidelines embed trade a (IWT)onnew privacy, by OngoingJan 2020 – Dec 2021 TradeCommerce creates jobs and contributes to economies ¼ Banknetworks 10,000 of suppliers of our clients’ and buyers international through and banking domestic the Jan 2020 – Dec 2024 Financial crime compliance data ethics and algorithmic fairness, and embed a new ¼ Tackledevelopingdatagovernance ethics fnancial redand framework fags crimesalgorithmic for such forfnancial allfairness, as data-related illegal fows, and wildlife training embed risks trade frontline a (IWT)new staffby to Ongoing TradebyCommerce enabling creates people jobs and to connect contributes across to economiesborders ¼ networksecosystemBank 10,000 of programmes suppliers of our clients’ and buyers international through and banking domestic the Jan 2020 – Dec 2024 Financial crime crime has compliance serious social and governance framework for all data-related risks Financial crime compliance ¼ developingidentifyTacklegovernance fnancial potential red framework fagscrimes suspicious for such forfnancial all transactionsas data-related illegal fows, wildlife training and risks trade participating frontline (IWT) staffby in to Ongoing byTradeCommerce enabling creates people jobs and to connect contributes across to economiesborders ¼ Bankecosystemnetworks 10,000 of programmes suppliers of our clients’ and buyers international through and banking domestic the Jan 2020 – Dec 2024 Financialeconomic crime consequences, has serious harming social and Commerce ¼ Bank 10,000 of our clients’ international and domestic Jan 2020 – Dec 2024 identifypublic-privatedeveloping potential red partnerships fags suspicious for fnancial to transactions share fows, intelligence training and participating frontlineand good staff practicesin to by enabling people to connect across borders networksecosystem of programmes suppliers and buyers through banking the Financialeconomicindividuals crime consequences, andcrime communitieshas compliance serious harming social and ¼ Tackle fnancial crimes such as illegal wildlife trade (IWT) by Ongoing TradeCommerce creates jobs and contributes to economies ¼ networksBank 10,000 of suppliers of our clients’ and buyers international through and banking domestic the Jan 2020 – Dec 2024 Financial crime compliance ¼ public-privateidentifyTackle fnancial potential partnerships crimes suspicious such to transactionsas share illegal intelligence wildlife and trade participating and (IWT) good by practicesin Ongoing Trade creates jobs and contributes to economies Financialindividualseconomic crime consequences,and communitieshas serious harming social and ¼ Tackledeveloping fnancial red fagscrimes for such fnancial as illegal fows, wildlife training trade frontline (IWT) staffby to Ongoing Tradeby enabling creates people jobs and to connect contributes across to economiesborders ecosystemnetworks of programmes suppliers and buyers through banking the Financial crime crime has compliance serious social and ¼ public-privateDeliverdeveloping at least red partnerships 18fags correspondent for fnancial to share fows, banking intelligence training academies frontlineand good staff practices to Jan 2020 – Dec 2020 by enabling people to connect across borders economicindividuals consequences,and communities harming identify potential suspicious transactions and participating in ecosystem programmes Financial crime has serious social and ¼ Deliveridentifydeveloping atpotential least red 18fags suspicious correspondent for fnancial transactions fows, banking training and academies participating frontline staff in to Jan 2020 – Dec 2020 by enabling people to connect across borders economic consequences, harming public-private partnerships to share intelligence and good practices Digital ¼ Roll out digital-only bank in a total of 12 markets and Jan 2020 – Dec 2021 individualseconomic consequences,and communities harming ¼ Deliverpublic-privateidentify atpotential least partnerships 18 suspicious correspondent to transactions share banking intelligence and academies participating and good practicesin Jan 2020 – Dec 2020 EveryoneDigital should have access to digital ¼ Rolldouble out the digital-only number bankof clients in a totalwe bank of 12 in markets Africa to and 3.2 million Jan 2020 – Dec 2021 individuals and communities public-private partnerships to share intelligence and good practices ¼ Deliver at least 18 correspondent banking academies Jan 2020 – Dec 2020 EveryonebankingDigital products should have enabling access safe, to effcientdigital and ¼ doubleRoll out the digital-only number bankof clients in a totalwe bank of 12 in markets Africa to and 3.2 million Jan 2020 – Dec 2021 ¼ Deliver at least 18 correspondent banking academies Jan 2020 – Dec 2020 ¼ Deliver at least 18 correspondent banking academies Jan 2020 – Dec 2020 bankinginclusiveEveryoneDigital productsbanking should have enabling access safe, to effcientdigital and ¼ Rolldouble out the digital-only number bankof clients in a totalwe bank of 12 in markets Africa to and 3.2 million Jan 2020 – Dec 2021 Digital ¼ Roll out digital-only bank in a total of 12 markets and Jan 2020 – Dec 2021 Pillar 3: Inclusive Communities inclusivebanking productsbanking enabling safe, effcient and EveryoneDigital should have access to digital ¼ doubleRoll out the digital-only number bankof clients in a totalwe bank of 12 in markets Africa to and 3.2 million Jan 2020 – Dec 2021 inclusiveEveryone banking should have access to digital Pillar 3: Inclusive Communities bankingEveryone products should have enabling access safe, to effcientdigital and double the number of clients we bank in Africa to 3.2 million PillarAspirations 3: Inclusive Communities Targets: We will: Target dates bankinginclusive productsbanking enabling safe, effcient and Aspirations Targets: We will: Target dates inclusive banking PillarCommunity 3: Inclusive engagement Communities ¼ Invest 0.75% of prior year operating proft (PYOP) Jan 2006 – Dec 2020 inclusive banking PillarAspirations 3: Inclusive Communities Targets: We will: Target dates HealthPillarCommunity and 3: Inclusiveeducation engagement are Communities vital for thriving ¼ Investin our communities0.75% of prior year operating proft (PYOP) Jan 2006 – Dec 2020 Impact fnance ¼ Introduce ESG scores for equity investments for Private Jan 2020 – Dec 2020 Aspirations Targets: We will: Target dates HealthandAspirationsCommunity prosperous and education engagement communities are vital for thriving Targets:¼ Investin our We communities0.75% will: of prior year operating proft (PYOP) TargetJan 2006 dates – Dec 2020 InnovativeImpact fnance fnancial products and partnerships ¼ IntroduceBanking clients ESG scoresallowing for them equity to investmentstailor their investment for Private choices Jan 2020 – Dec 2020 ¼ Raise $50m for Futuremakers by Standard Chartered Jan 2019 – Dec 2023 andHealthAspirations prosperous and education communities are vital for thriving Targets:¼ Investin our We communities0.75% will: of prior year operating proft (PYOP) TargetJan 2006 dates – Dec 2020 Impact fnance ¼ BankinginIntroduce a sustainable clients ESG scoresallowingmanner for them equity to investmentstailor their investment for Private choices Jan 2020 – Dec 2020 Community engagement ¼ Invest 0.75% of prior year operating proft (PYOP) Jan 2006 – Dec 2020 Innovativecan help us fnancial solve global products development and partnerships challenges andCommunity prosperous engagement communities ¼ Raise $50m for Futuremakers by Standard Chartered Jan 2019 – Dec 2023 Health and education are vital for thriving ¼ Investin our communities0.75% of prior year operating proft (PYOP) Jan 2006 – Dec 2020 canandInnovative helpimprove us fnancial solve the lives global products of millionsdevelopment and in partnerships our marketschallenges ¼ inBanking a sustainable clients allowingmanner them to tailor their investment choices HealthCommunity and education engagement are vital for thriving ¼ RaiseEducation:in our $50mcommunities Reach for Futuremakers one million girls by Standard and young Chartered women through Goal Jan 20192006 –– DecDec 20232023 Impact fnance ¼ Introduce ESG scores for equity investments for Private Jan 2020 – Dec 2020 Impact fnance inIntroduce a sustainable ESG scoresmanner for equity investments for Private Jan 2020 – Dec 2020 Healthand prosperous and education communities are vital for thriving ¼ Education:in our communities Reach one million girls and young women through Goal Jan 2006 – Dec 2023 Innovativeandcan helpimprove us fnancial solve the lives global products of millionsdevelopment and in partnerships our marketschallenges ¼ IntroduceBankingDevelop clientsa ESGtailored scoresallowing Impact for them equityProfle to investmentstailorfor all theirPrivate investment for Bank Private clients choices providing Jan 2020 – Dec 20242020 and prosperous communities ¼ Raise $50m for Futuremakers by Standard Chartered Jan 2019 – Dec 2023 InnovativeImpact fnance fnancial products and partnerships Banking clients allowing them to tailor their investment choices ¼ Education:RaiseEmployability: $50m Reach for Reach Futuremakers one 100,000 million girls byyoung Standard and people young Chartered women through Goal Jan 20192006 –– DecDec 20232023 canand helpimprove us solve the lives global of millionsdevelopment in our marketschallenges ¼ inDevelopa frameworka sustainable a tailored that manner enables Impact themProfle to for understand all Private Banktheir passionsclients providing and Jan 2020 – Dec 2024 and prosperous communities canInnovative help us fnancial solve global products development and partnerships challenges inBanking a sustainable clients allowingmanner them to tailor their investment choices ¼ Employability:Raise $50m for Reach Futuremakers 100,000 byyoung Standard people Chartered Jan 2019 – Dec 2023 ¼ aharnessDevelop framework capitala tailored that market enables Impact solutions themProfle to tofor understand support all Private the Banktheir SDGs passionsclients providing and Jan 2020 – Dec 2024 ¼ Education: Reach one million girls and young women through Goal Jan 2006 – Dec 2023 canand helpimprove us solve the lives global of millionsdevelopment in our marketschallenges in a sustainable manner ¼ Employability:Education:Entrepreneurship: Reach Reach Reachone 100,000 million 50,000 girls young young and people young people, women and micro through and Goal Jan 20192006 –– DecDec 20232023 and improve the lives of millions in our markets harnessa framework capital that market enables solutions them to to understand support the their SDGs passions and ¼ Develop a tailored Impact Profle for all Private Bank clients providing Jan 2020 – Dec 2024 ¼ Entrepreneurship:small businessesEducation: Reach Reachone million 50,000 girls young and young people, women and micro through and Goal Jan 20062019 –– DecDec 20232023 and improve the lives of millions in our markets ¼ Develop a tailored Impact Profle for all Private Bank clients providing Jan 2020 – Dec 2024 ¼ Employability: Reach 100,000 young people Jan 2019 – Dec 2023 ¼ Increaseharness capitalthe proportion market solutionsof Private to Bank support investment the SDGs solutions Jan 2020 – Dec 2024 ¼ ¼ aDevelop framework a tailored that enables Impact themProfle to for understand all Private Banktheir passionsclients providing and Jan 2020 – Dec 2024 small businessesEntrepreneurship:Employability: Reach Reach 100,000 50,000 young young people people, and micro and Jan 2019 – Dec 2023 ¼ harnessIncrease(across funds, capitalthe proportion bonds, market structured solutionsof Private to productsBank support investment and the discretionarySDGs solutions Jan 2020 – Dec 2024 ¼ SupportEmployability: the development Reach 100,000 of the young Vision people Catalyst Fund Jan 2019 – Dec 20202023 harnessa framework capital that market enables solutions them to to understand support the their SDGs passions and ¼ Entrepreneurship:small businesses Reach 50,000 young people, and micro and Jan 2019 – Dec 2023 ¼ (acrossmandates)Increase funds, the with proportion bonds, a sustainability structured of Private lens productsBank from investment below and discretionary10% solutions to 50% Jan 2020 – Dec 2024 ¼ SupportEntrepreneurship: the development Reach 50,000 of the Vision young Catalyst people, Fundand micro and Jan 2019 – Dec 20202023 harness capital market solutions to support the SDGs small businesses ¼ small businessesIncreaseEntrepreneurship: participation Reach for employee50,000 young volunteering people, toand 55% micro and Jan 20202019 – Dec 2023 ¼ Increasemandates)(across funds, the with proportion bonds, a sustainability structured of Private lens productsBank from investment below and discretionary10% solutions to 50% Jan 2020 – Dec 2024 Support the development of the Vision Catalyst Fund Jan 2019 – Dec 2020 ¼ Increase the proportion of Private Bank investment solutions Jan 2020 – Dec 2024 ¼ Increasesmall businesses participation for employee volunteering to 55% Jan 2020 – Dec 2023 (acrossmandates) funds, with bonds, a sustainability structured lens products from below and discretionary10% to 50% ¼ Support the development of the Vision Catalyst Fund Jan 2019 – Dec 2020 ¼ (acrossIncrease funds, the proportion bonds, structured of Private productsBank investment and discretionary solutions Jan 2020 – Dec 2024 ¼ IncreaseSupport theparticipation development for employee of the Vision volunteering Catalyst Fundto 55% Jan 20202019 – Dec 20202023 mandates)(across funds, with bonds, a sustainability structured lens products from below and discretionary10% to 50% ¼ Support the development of the Vision Catalyst Fund Jan 2019 – Dec 2020 ¼ Increase participation for employee volunteering to 55% Jan 2020 – Dec 2023 mandates) with a sustainability lens from below 10% to 50% ¼ Increase participation for employee volunteering to 55% Jan 2020 – Dec 2023 ¼ Increase participation for employee volunteering to 55% Jan 2020 – Dec 2023 31 32 Endnotes

1 Standard Chartered, Opportunity 2030 The Standard Chartered SDG Investment Map, 2020

2 Centre for International Governance Innovation (2018) The Financial Sector and the SDGs: Interconnections and future directions. CIGI Papers no. 201.

3 Standard Chartered, Impact Reports, 2020

4 Please see Appendix for full SAM modelling methodology.

5 The World Bank, Ghana GDP growth rate, 2020; African Development Bank, Republic of Ghana country strategy paper, 2019; African Development Bank, Ghana’s economic outlook, 2019

6 The World Bank, Ghana GDP growth rate, 2020

7 The World Bank, The World Bank in Ghana, 2020

8 Deloitte, Economic Impact of the COVID-19 Pandemic on the Economy of Ghana Summary of fiscal Measures and Deloitte views, 2020

9 UNDP, Ghana Human Development Report, 2019

10 UN, Ghana Millennium Development Goals 2015 Report, 2015

11 Aryeety, E, and Baah-Boateng, W, Understanding Ghana’s growth success story and job creation challenges, 2016

12 Ghana Statistical Service, Ghana Living Standards Survey 7, 2019; Ernest Aryeety, William Baah-Boateng, Understanding Ghana’s growth success story and job creation challenges, 2016

13 UNCG, The Sustainable Development Goals, 2017; Republic of Ghana, Voluntary National Review Report on the Implementation of the 2030 Agenda for Sustainable Development, 2019. 33 14 Ministry of Trade and Industry, 10 Point 26 Saunders et al, Telecommunications Agenda, 2017; Republic of Ghana, Voluntary & Economic Development, 1996 National Review Report on the Implementation 27 of the 2030 Agenda for Sustainable Oxford Business Group, Improved Information and Communication Technology infrastructure 15 The ECOWAS is a regional political in Ghana raises data penetration, 2018 and economic union of fifteen 28 countries located in West Africa Alliance for Affordable Internet, Ghana Infrastructure Sharing and 16 Adarkwah, M. F., & Santuoh, F. J. Finance Open Access study, 2017. Challenges of Manufacturing Companies 29 in Ghana and Their Contributions to the Teixeira, J. et al, Why education Economic Growth of Ghana, 2018 infrastructure is important for learning, 2017; World Economic Forum, Why 17 Directorate of Research Innovation and education is key to development, 2015 Consultancy, June 2017, Background 30 Studies on Infrastructure Sector in ILO, Decent Work, 2015 Ghana, International Labour Office 31 See principle 9 of Standard 18 The World Bank, African infrastructure Chartered’s Supplier Charter country diagnostic, country report, 2010. 32 Ghana Statistical Service, GlSS6 Ghana’s infrastructure: A Continental Labour Force Report, 2015 Perspective: International Labour Office: Directorate of Research Innovation and 33 Standard Chartered, Our First Consultancy, June 2017, Background Studies Sustainability Bond, 2019 on Infrastructure Sector in Ghana, 34 The Shared Value Initiative, The role of 19 G20, Infrastructure Outlook data, 2020 communication in Shared Value, 2018

20 UNIDO, Manufacturing as an engine of 35 The Partnering Initiative and United growth: Which is the best fuel? 2019 Nations Department of Economic and Social Affairs,Maximising the impact of 21 Kessides,C The Contributions of Infrastructure partnerships for the SDGs: A practical to Economic Development, 1993 guide to partnership value creation, 2019. 22 A SAM provides a structural blueprint 36 Opportunity 2030 highlights the potential of the economy and maps relationships private sector investment opportunity between sectors, i.e. backward and forward that solves urgent societal issues such linkages showing sectors that provide as energy, digital access, transport goods/services to companies, and the and clean water & sanitation. goods/services that the company supplies to other companies. The detailed SAM methodology is provided in an appendix.

23 IFC, As a port in Ghana grows so does trade and investment, 2016

24 Dwarkish and Salim, Review on the Role of Ports in the Development of a Nation, 2015

25 Economy Watch, Airports, World Airports, Economic Impact of Airports, 2010. 34