ANZ requires all corporate customers to be assessed for potential social and environmental issues. The screening process is applied to all new customers, all material new transactions of existing customers and annual reviews of all customers.
We have developed a number of processes and tools to help reduce and/or mitigate social and environmental risk in our lending. These include:
- Social and environmental screening tool: helps staff assess reputational, social and environmental issues, consider stakeholder concerns and assess adequacy of management and mitigation strategies.
- Reputation Risk Radar: monitors in real time the social and environmental issues of existing and prospective customers.
- Early Alert Review Committee: provides staff with externally sourced social and environmental information relating to current and prospective customers.
- Reputation Risk Committee: oversees management of social, environmental and reputational risks, particularly in our Institutional and Corporate customer portfolio. The committee is chaired by the Chief Risk Officer and supported by regional and divisional subcommittees, as appropriate, to provide global and sectoral coverage wherever ANZ is represented.
Where social and environmental issues are identified, we expect our customers to manage and mitigate these issues. We support our customers to address any impacts and in some instances we may require the customer to employ an independent third-party to undertake assessments. These may become part of the terms of products or services provided by ANZ.
There may be some situations where we are unable to work with a customer to manage social and environmental issues. Where the risks identified cannot be managed in accordance with ANZ's social and environmental risk requirements, the product or service may be declined.