Responsible banking

BBVA´s Purpose is to bring the age of opportunity to everyone. This Purpose is based on strong values: the customer comes first, we think big and we are one team. As part of its strategy, BBVA wants to improve its clients' financial health and help them in the transition toward a sustainable future inspired by the United Nations Sustainable Development Goals. Specifically, BBVA is committed to support the transition towards a low carbon emissions economy and inclusive economic development, both through its business and through the various social programs that the Group promotes.

The key strategic initiatives of responsible banking are:

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

Measures taken by BBVA in response to COVID-19

In addition to the safety, business continuity and financial support measures to the commercial and retail sector in light of the situation caused by COVID-19 mentioned at the beginning of this report, BBVA stepped up efforts to help society in its fight against the pandemic, with an institutional donation of €35m. Focused on three action items, BBVA has.

  • Donated €28.1m, mainly for the purchase of respirators and medical and personal protective equipment for healthcare workers.
  • Supported social organizations with more than €4.2m, in order to reduce the negative impacts of the pandemic on the most vulnerable segments of society.
  • Made a special request for aid totaling €2.7m aimed at supporting 20 scientific research projects.

In addition, BBVA launched an initiative among its employees in most of the countries in which it operates, inviting them to join in with the charitable work against the pandemic. In these campaigns, BBVA has played its part by contributing an initial amount or by matching the contribution of its employees, so for every euro contributed by an employee, the Bank has contributed another euro. The funds raised amounted to €1.8m and they are being used to fight against the virus in the three action items mentioned above.

Finally, BBVA has encouraged its customers to get involved, launching several campaigns, mainly in Spain and Mexico, through which €9.3m has been raised.

As for suppliers, BBVA has supported the ones closest to us with protection schemes for employees and companies, and with the advance payment of invoices, without waiting until the agreed deadline.

Other responsible banking initiatives

The promotion of responsible and sustainable growth is one of BBVA's main responsible banking strategic initiatives, in line with the Group's second strategic priority: "Helping our clients transition toward a sustainable future." Along these lines, in 2018, BBVA presented its 2025 Pledge to contribute to the achievement of the United Nations Sustainable Development Goals and the challenges arising from the Paris Agreement on Climate Change. In one of the initiatives forming part of this commitment, BBVA is pledging to mobilize €100bn between 2018 and 2025 in green finance, sustainable infrastructure and agribusiness, entrepreneurship and financial inclusion, of which €40,082m had already been mobilized by the end of June 2020.

In addition, during the third quarter of the year BBVA has joined forces with four other major banking groups to publish a joint methodology to align their loan portfolios with the targets established by the Paris Agreement on Climate Change, available to all financial institutions wishing to make progress with the decarbonization of their loan portfolios.

Furthermore, since January 1, 2020, the Bank has set an internal price for its CO2 emissions and is committed to being carbon neutral in 2020, thereby contributing to the fight against climate change and promoting sustainable development.

In terms of gender diversity, BBVA was once again included, for the third consecutive year, in the Bloomberg Gender-Equality Index, which is recognition of its commitment to creating working environments of trust, where the professional development and equal opportunities of all employees are guaranteed regardless of gender.

BBVA is committed to diversity and inclusion in all its forms and as a result in 2019 it joined the Corporate Network for Diversity and LGBTIQ+ Inclusion (REDI) and decided to support the United Nations "Standards of Conduct for Business on Tackling Discrimination against LGBTIQ+ people." Adherence to these principles, which safeguard the rights of the LGBTIQ+ community in the workplace, implies a commitment by the bank to ensure equal treatment and to activate measures that detect possible discrimination related to the sexual identity or orientation of the employees.

In addition to the Bloomberg Gender-Equality Index mentioned earlier, BBVA is present in other international sustainability indexes and ESG indexes (Environmental, Social and Governance) that rate the performance of companies in these areas. As of September 30, 2020, the main sustainability indexes in which BBVA is present are: Dow Jones Sustainability Indices, as a member of DJSI World and DJSI Europe; MSCI (2) , as a member of the MSCI ESG Leaders Indexes; FTSE4Good, being a member of FTSE4Good Index Series; Euronext Vigeo, as a member of the Euronext Vigeo Eurozone 120 and Europe 120 indexes; Ethibel Sustainability Excellence, specifically in Ethibel Sustainability Excellence Europe and Ethibel Sustainability Excellence Global and finally, it is included as one of the leaders in the Carbon Disclosure Project (CDP) annual index of companies fighting against climate change.

(2) The inclusion of BBVA in any MSCI index, and the use of the 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.