SMBC establishes expense budget for creation of Social Value and “Social Value Creation Investment…

SMBC establishes expense budget for creation of Social Value and “Social Value Creation Investment Fund”

Sumitomo Mitsui Financial Group has established a group-based expense budget from this fiscal year and will continue to invest management resources to create Social Value, which is declared in the current Mid-term Management Plan.

This year, the SMBC Group has set an expense budget of 10 billion yen for above activity, which is approximately 1% of the parent company’s net income target of 1,060 billion yen for this fiscal year.

A percentage of profits from sustainable finance and others will be used for activities that create Social Value, including activities to help customers solve social issues, company-wide project such as the “University Sports Support Program”, Corporate Social Responsibility (CSR) programs by employees, and so on.

The SMBC Group will build a virtuous cycle of pursuing economic value and creating Social Value by continuously investing part of the earnings generated by the commitment toward the creation of Social Value.

Also, SMBC Group has now established a “Social Value Creation Investment Fund” of 40 billion yen. This was originally set aside in April 2022 as a “Sustainability Investment Fund” of 20 billion yen to invest mainly in areas that help customers decarbonize their businesses.

Moreover, the investment fields have been expanded to the five materialities which SMBC Group must proactively address: “Environment,” “DE&I/Human Rights,” “Poverty & Inequality,” “Declining Birthrate & Aging Population” and “Japan’s Regrowth”.

By utilizing this investment fund, SMBC Group will not only co-create and develop businesses with their customers who wish to create Social Value, but also support the development of new technologies and industries through risk-taking.

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