Responsible banking

At BBVA we have a distinct banking model, anchored in our purpose: to bring the age of opportunity to everyone. This model is based on the pursuit of profitability grounded on principles, strict compliance with legal regulations, good practices, and the creation of long-term value for all stakeholders.

The key strategic initiatives of responsible banking are:

  • Creating lasting and more balanced relations with our customers via transparent, clear and responsible communications, and supporting financial literacy in all of the solutions that we offer.
  • A fully integrated approach to doing business via responsible business policies, a reputational risk model and people-centric culture throughout the organization.
  • Supporting responsible and sustainable growth via financial inclusion, sustainable financing, support for SMEs and responsible investment.
  • Investment in the community, prioritizing financial literacy initiatives, entrepreneurship, learning, and other locally significant social causes.

In addition to the business continuity and financial support measures for the commercial and private sector in the light of the situation caused by COVID-19 mentioned at the beginning of this report, BBVA has stepped up efforts to help society in its fight against the COVID-19 pandemic. This is in the form of a pledge to make a donation of around €35m in the countries in which the company operates, providing support to health authorities and social organizations and promoting scientific research.

In addition to this institutional donation, BBVA has launched an initiative among its employees in Spain so that they can join in solidarity with providing aid against the pandemic. Employees who want to join this cause can do so through the “Your contribution is worth double” campaign, where for every euro contributed by an employee, the Bank contributes another euro. This campaign has been implemented gradually in the countries in which the Group operates. The funds raised are used in the fight against the virus in three lines of action:

  • Providing medical equipment and resources to the public health systems in each country where the Group operates.
  • Supporting the most vulnerable population in their basic needs.o had an active role in the UN Climate Change Conference (COP 25) hosted in Madrid.
  • Promoting scientific research on the virus and its treatment.

Regarding suppliers, BBVA has supported the closest ones with protection schemes for employees and companies, and advancing payment of bills without waiting until the agreed payment date.

For its part, in order to maintain a balanced relationship with its customers, in addition to advancing transparency and clarity in recent years, BBVA has placed emphasis on promoting the financial health of its customers. Financial health is defined as the dynamic relationship between health and personal finance and is reached when the individual makes decisions and adopts behaviors, routines and habits that allow him or her to be in a better financial situation to overcome crises and achieve their objectives.

In the area of sustainable finance, BBVA has mobilized around €30 billion since the launch of its 2025 Pledge, which represents 30% of the total pledge. On the other hand, the Bank set an internal price on its CO2 emissions from January 1 and pledged to be carbon neutral in 2020.

With regard to responsible practices with employees, on International Women's Day, BBVA held a week of events dedicated to commemorating the organization's progress in gender diversity. The Bank has identified three major areas to act on in order to foster women's talent: the elimination of unconscious biases in recruitment processes, visibility of women's talent, and balancing professional opportunities for men and women. It should be noted that in the first quarter of 2020, BBVA was included in the Bloomberg Gender-Equality Index for the third consecutive year.

BBVA is present on other international sustainability indexes or Environmental, Social and Governance (ESG) indexes, which evaluate companies' performance in these areas. As of March 31, 2020, the main sustainability indexes in which BBVA is included are: Dow Jones Sustainability Indices, as member of the DJSI World and DJSI Europe Indexes; MSCI1, being listed on the MSCI ESG Leaders Indexes; FTSE4Good, being listed on the FTSE4Good Index Series; Euronext Vigeo, as listed entity of the Euronext Vigeo Eurozone 120 and Europe 120 Indexes; and Ethibel Sustainability Excellence, namely the Ethibel Sustainability Excellence Europe and Ethibel Sustainability Excellence Global Indexes.

Finally, in terms of community investment, BBVA allocated €113.8m to social initiatives in 2019, which benefited more than 11.4 million people. This figure represents 2.4% of the net attributable profit for that financial year. Through social programs, BBVA acts as an engine of opportunities for people, and seeks to have a positive impact on their lives, with regard to vulnerable people in particular.

1 The inclusion of BBVA in any MSCI index, and the use of logos, trademarks, service marks or index names herein does not constitute the sponsorship or promotion of BBVA by MSCI or any of its subsidiaries. The MSCI indexes are the exclusive property of MSCI. MSCI and the MSCI indexes and logos are trademarks or service marks of MSCI or its subsidiaries.