Citi Releases 2021 Environmental, Social and Governance report

Citi Releases 2021 Environmental, Social and Governance (ESG) Report

NEW YORK, April 25, 2022–(BUSINESS WIRECiti’s 2021 Environmental, Social and Governance Report (ESG) was released today. This annual report details Citi’s ongoing efforts to address some society’s most pressing issues and create more sustainable, diverse, and equitable communities all over the globe. This ReportRelated Executive SummaryHighlight Citi’s progress on its ESG goals, and commitments.

“From COVID-19 to climate change to systemic racism and a transformal war in Ukraine, it is clear that Citi must step up and address the global challenges facing our society,” he said. Jane Fraser, CEO, Citi. “The health of our company is directly tied to the health of our planet, our communities, and we can’t succeed at either without the other.” Citi’s sense of responsibility continues to guide our business strategy, decisions, and firm-wide goals.

This report includes many ESG initiatives. The following highlights are from the past year:

Accelerating Sustainable Finance Citi began to make a profit in 2021. $1 trillion commitmentSustainable finance includes a goal of $500 billion for environmental finance and $500 billion for social finance. This aligns with the United Nations’ Sustainable Development Goals. Citi is financing and supporting a wide range activities, from clean technology and renewable energy to healthcare and affordable housing. This commitment will help Citi accelerate the transition towards a low-carbon sustainable economy that supports society’s environmental, social, and economic needs. Citi is well on track for meeting its $1 trillion commitment to 2030 by financing and facilitating $222 billion of sustainable finance activity worldwide between 2020-2021.
The Transition to a Low Carbon Economy: Citi’s new website was unveiled earlier this year. Initial planJane Fraser made a commitment to achieve net zero emissions by 2050 on her first day as CEO in March 2021. The plan discloses Citi’s baseline financed emissions and sets ambitious 2030 targets for its Energy and Power loan portfolios. These include a 29% absolute reduction of financed emissions in the Energy sector and 63% reductions in portfolio emissions intensity in the Power sector. Citi’s Net Zero Transition Principles were also introduced in the plan. They guide Citi’s efforts to drive a responsible, orderly transition that minimizes economic disruption and contributes to larger sustainable development goals. Citi co-founded the Net Zero Banking Alliance in 2021. This alliance will provide an industry framework to decarbonize the banking sector.
Maximizing Positive Social Impact in Emerging Markets: Citi’s long-standing experience and commitment to financial inclusion around world led the company to expand its social finance efforts. This included support for social initiatives in areas like healthcare, education, and basic infrastructure. Citi issued a unique 2021 issue. $1 billion social financing bondto support social-economic development efforts that increase opportunity, access to basic services in emerging countries. Citis social finance focus aims to invest in opportunities that will benefit 15 million households globally, including 10,000,000 women, by 2025.
Deepening efforts to close the Racial Wealth Gap in America: As part of Action for Racial EquityOne year into the three-year commitment, Citi and Citi Foundation had invested $1 billion in strategic initiatives. Through the $200 million Impact FundCiti allocated 68% to 2021 assets to companies that were founded by women or founders of other races/ethnicities. This supports the Fund’s goal to reduce the gap between the gender and racial/ethnic disparities in venture capital. Citi also launched new initiatives that embed racial equity throughout Citis business in order to better serve its clients. The Diverse Financial Institutions Group was recently launched by Citi. This group is dedicated to promoting and expanding firmwide engagements with diverse broker dealers, minority depository institutions and diverse asset managers. Citi also partnered with five Black-owned businesses to syndicate a bond issuance of $2.5 billion in 2021.
Affordable Housing: Citi provided loans of $5.64 billion to affordable housing projects in 2021. This made Citi the top affordable housing lender in the U.S. in 2021.^Thconsecutive year, as published By Affordable Housing Finance.
Continuating Transparency regarding Pay Equity and Increasing Diverse Representative: Citi promoted one the largest and most diverse Managing Directors classes in recent years in 2021. More than a quarter of the total class in the U.S. was made up of women and more than a quarter of those in the U.S. were racial/ethnic minority. Citi revealed its annual results earlier this year. Public updateOn pay equity, the company highlighted progress in U.S. minorities’ and global median salaries. Citi announced that it had achieved its three-year aspirational diversity goals, increasing representation at the Assistant vice president to Managing director levels for women to 40.6% worldwide and Black representation at these same levels to 8.1% U.S. levels. The company plans on expanding into new markets and establishing new representation and hiring goals.

“Over the past 12 months, we have made significant progress towards achieving the commitments that we have made, despite the volatile and uncertain period we are currently in,” said Edward Skyler, Head, Global Public Affairs, Citi. “ESG considerations will only increase in importance as all our stakeholders place greater emphasis on the need for our bank’s bank to chart a sustainable, equitable future. We will continue to explore new and innovative ways to use our balance sheet, whether it’s through our Impact Fund, our plan for net zero, or the work that we do to support communities where we do business.

This is Citis ESG Report’s 3rd Annual Release. It was previously Citis Global Citizenship Report. The 2021 ESG Report was prepared according to the Global Reporting Initiative (GRI), Standards: Core option. It also includes reporting against three relevant Sustainability Accounting Standards Boards (SASB), sector standards. Citi also relies on the Principles for Responsible Banking, UN Global Compact, and UN Guiding Principles on Business & Human Rights frameworks for its reporting. Visit citi’s ESG page to learn more. www.citigroup.com/citi/about/esg/.

Citi

Citi, the global bank leader, has around 200 million customer accounts. It also does business in over 160 countries and jurisdictions. Citi offers a wide range of financial products to consumers, corporations, governments, and institutions, including credit and consumer banking, investment banking, securities brokerage and transaction services, as well as wealth management.

Citi Foundation

The Citi Foundation promotes economic growth and improves the lives in low-income communities all over the world. We invest in projects that increase financial inclusion and create job opportunities for youth. We also reimagine methods to build economically vibrant communities. Citi Foundation’s “More than Philanthropy” approach leverages the vast expertise of Citi and its employees to fulfill our mission, drive thought leadership, and innovate. Visit www.morethanphilanthropy.org to find out more. www.citifoundation.com.

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Media
Stephanie Hyon
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