SEB sets net-zero aligned 2030 targets for its credit portfolio

In line with its sustainability strategy and commitment to the Net-Zero Banking Alliance (NZBA), SEB is setting net-zero aligned 2030 interim targets for specific sectors in its credit portfolio. The targets focus on the areas where we can achieve the greatest positive impact and cover SEB’s lending commitments to the oil & gas, power generation, steel, car manufacturing, and Swedish household mortgage sectors.

“SEB aims to be a leading catalyst in the sustainability transition by supporting our customers on their transition journeys, and the 2030 targets we are now setting are an important part of our effort towards reaching a net-zero credit portfolio by 2050 or sooner. Together with our customers, we are starting from a strong position, which is testament to our common ambitions within the climate area and our strive to accelerate the transition to a sustainable society,” says Johan Torgeby, SEB’s President and CEO.

The 2030 sector targets are part of SEB’s commitment to the Net-Zero Banking Alliance, which SEB formed last year together with 42 other banks to accelerate the transition of the global economy to net-zero emissions by 2050 at the latest. As part of the initiative, SEB has committed to align its credit portfolio with 1.5°C pathways to net-zero by 2050 or sooner, and to set interim sector targets for 2030.

Sector targets
The 2030 sector targets are set against a 2020 baseline and initially cover SEB’s lending commitments (lending and contingent liabilities) to the oil & gas, power generation, steel, car manufacturing and Swedish household mortgage sectors.

• For oil & gas (exploration, production and refining), the target is to reduce absolute financed emissions to 8.3 million tonnes CO2e by 2030 (a 55 per cent reduction compared with a 2020 baseline).
• For power generation, the target is to reduce the financed emission intensity to 70 g CO2e/kWh by 2030 (a reduction of 43 per cent).
• For steel, the target is to reduce the financed emission intensity to 0.98 tonne CO2e/tonne steel by 2030 (a reduction of 30 per cent).
• For car manufacturing, the target is to reduce the financed emission intensity to 61 g CO2e/km/vehicle by 2030 (a reduction of 60 per cent).
• For Swedish household mortgages, the target is to reduce the financed emission intensity to 2.18 kg CO2e/m2 by 2030 (a reduction of 30 per cent).

Our 2020 emission intensity baselines are lower than global and regional sector averages, reflecting our strong starting position and our customers’ progress on their transition journeys. Our 2030 targets are in line with or ahead of relevant science-based decarbonisation pathways and metrics. For more detailed information about the sector targets and the method and benchmarks used, visit sebgroup.com/sustainability/our-strategy/ambitions-and-goals

SEB’s climate ambitions and goals
The 2030 sector targets complement SEB’s forward-looking climate ambitions. These consist of the Carbon Exposure Index (“The Brown”), which is a goal to reduce the fossil credit exposure within the bank’s energy portfolio by 45-60 per cent by 2030; the Sustainability Activity Index (“The Green”), which is an ambition to increase activity within sustainability-related lending, sustainable finance advisory, sustainable investment products and venture capital investments within Greentech by 6-8 times by 2030; and the Transition Ratio (“The Future”), which reflects how our customers transition in line with the Paris Agreement.

For further information, contact:
Pawel Wyszynski, Head of Investor Relations
+46 70 462 2111
pawel.wyszynski@seb.se

Frank Hojem, Head of Corporate Communication
+46 70 763 9947
frank.hojem@seb.se

SEB is a leading northern European financial services group with international reach. We exist to positively shape the future with responsible advice and capital, today and for generations to come. By partnering with our customers, we want to be a leading catalyst in the transition to a more sustainable world. In Sweden and the Baltic countries, SEB offers financial advice and a wide range of financial services. In Denmark, Finland, Norway, Germany and the United Kingdom, we have a strong focus on corporate and investment banking based on a full-service offering to corporate and institutional clients. The international nature of SEB's business is reflected in our presence in more than 20 countries worldwide, with around 16,500 employees. At 30 September 2022, the Group's total assets amounted to SEK 4,277bn while assets under management totalled SEK 2,018bn. Read more about SEB at sebgroup.com.