Second-Party Opinion Download

Sustainalytics is of the opinion that the Mitsubishi UFJ Financial Group Green Bond Framework is credible and impactful, and aligns with the four core components of the Green Bond Principles 2018. This assessment is based on the following:

USE OF PROCEEDS

The eligible categories for the use of proceeds (Green Buildings and Renewable Energy) are aligned with those recognized by the Green Bond Principles 2018. Sustainalytics considers that the ‘Eligible Green Projects’ will contribute toward increasing the global share of renewable energy production and consumption, improving the financed property holdings’ overall energy efficiency and advancing the UN Sustainable Development Goals 7 and 11.

PROJECT EVALUATION/SELECTION

MUFG Bank’s Solution Products Division is responsible for selecting projects and loans as per the eligibility criteria. Projects are selected in accordance with the classifications of third party standards and the categories determined in accordance with the Equator Principles. Sustainalytics views this as aligned with market practice.

MANAGEMENT OF PROCEEDS

MUFG commits to monitor and track its green bond proceeds through MUFG Bank’s internal loan management system. Pending full allocation, MUFG will invest an equal amount of its unallocated proceeds in cash, cash equivalents and/or marketable securities. This is in line with market practice.

REPORTING

MUFG will disclose an annual allocation and impact report comprising: an overview of the green bonds; a compliance review from Sustainalytics; management assertions regarding the allocation of the green bond proceeds; CO2 emissions reduction data for green building projects and renewable energy projects; and kWh of power generated from renewable energy sources. Sustainalytics assesses MUFG’s reporting as aligned with market best practice.