Second-Party Opinion Download

Sustainalytics is of the opinion that the Woori Bank Green, Social and Sustainability Bond Framework is credible and impactful, and aligns with the Green Bond Principles 2018, the Social Bond Principles 2018 and the Sustainability Bond Guidelines 2018. This assessment is based on the following:

USE OF PROCEEDS

The eight green and the five social categories for the eligible use of proceeds - (i) Renewable Energy, (ii) Energy Efficiency, (iii) Pollution Prevention and Control, (iv) Environmentally Sustainable Management of Natural Resources and Land Use, (v) Clean Transportation, (vi) Sustainable Water and Wastewater Management, (vii) Climate Change Adaptation, (viii) Green Buildings, (ix) Employment Generation, SME Financing and Microfinance, (x) Social Enterprise Financing, (xi) Affordable Housing, (xii) Access to Essential Services and (xiii) Affordable Basic Infrastructure - are aligned with those recognized by both the Green Bond Principles and Social Bond Principles. Sustainalytics considers that eligible green and social projects will contribute to decrease South Korea’s environmental footprint and support job creation. In addition, Sustainalytics views that the eligible projects will advance various UN Sustainable Development Goals.

PROJECT EVALUATION/SELECTION

Woori Bank’s candidate eligible projects are selected by its Green, Social and Sustainability Bond Working Group (GSSBWG) based on the established eligibility criteria. The GSSBWG will oversee the project evaluation and selection process and will have a cross-departmental representation including from Woori Bank’s departments in charge of SME financing, credit risk management and investment banking. The process is aligned with market practices.

MANAGEMENT OF PROCEEDS

Woori Bank will record and track the net use of proceeds through a GSS (green, social and sustainability) Bond Register. The proceeds of transactions will be deposited in the general funding accounts and earmarked for allocation to eligible assets. Pending full allocation, the unallocated proceeds will be invested in cash, cash equivalents and marketable securities. This process is in line with market practices.

REPORTING

Woori Bank intends to report allocation proceeds on the company’s website on an annual basis until full allocation of proceeds. Allocation reporting will include the total amount allocated to eligible projects and the amount of unallocated proceeds. Where possible, the impact report will include relevant impact indicators per each green and social project category. Sustainalytics views Woori Bank’s allocation and impact reporting as aligned with market practice.