With the application of SARAS, the Bank aligns and contributes with principles of different international initiatives for the mitigation of global warming and the progress in the sustainable development objectives in the financial sectors, for example:

• Mitigation and adaptation commitments before Climate Change in 2030, Paris Agreement.
• Sustainable Development Objectives, United Nations.
• Responsible Bank Principles, United Nations Environmental Program Financial Initiative (UNEP-FI)
• Task Force on Climate-related Financial Disclosures (TCFD)

  The former considering that one of the main elements and premises of the initiatives, is the incorporation, revision and filing of environment and social aspects that allow to measure and report potential financial risks.

Perks and Characteristics of SARS in the Bank

• Specialized unit

Environmental and Social Management Unit (UGAS) was created in the Credit General Management for SARAS operation. It is a multidisciplinary area with initial and environmental and social supervision functions, prior and during the validity of the granted credits in the first-tier as a product of SARAS.

• Inclusive and vision reach

SARAS is an integral system applied in first-tier operations as part of the credit process. Likewise, the second-tier operation with IFIs, through a virtual platform, coordinated by the General Management Board of Promotion, consumables for training are given for the adoption of good practices and international initiatives in the sustainability of the financial sector.

• Normative process, in line with Credit process

It is a normative methodology that started as Support Handbook for the Credit Process since September 2017, so it includes Intern Supervision; in order to be an auditable and clear process.

• Portfolio management, Environmental and Social Risk Level (AyS)

SARAS allows to manage the portfolio in line with the risk category AyS of credit, as well as, permitting a thorough monitoring and follow-up of potential risk changes, to suggest action plans with mitigation measures.

• Leadership and Development National Bank promotion (BND)

Bancomext is a reference for other development banks in Mexico, regarding the adoption to good international practices in the environmental and social risks management, given that it has a SARAS with the trade bank acknowledgment and international development of the multilateral bodies. Bancomext shares its experience in different fonds and meeting with other Banks. This allows the institution to access to more funds in the environment and social markets.

• Development “Green and Sustainable Products”

There is a program of Sustainable Construction with promotes real-state sector (national infrastructure construction) to incorporate voluntary certifications in México in design phases, construction and operation, also the certification in Leadership in Energy and Environmental Design (LEED) worldwide approved by the US Green Building Council. Additionally, it is expected that new programs can develop in response of the environmental and social needs and opportunities that can be seen from some sectors and industries, in line with the national priorities.

• Alignment with the Bank in Mexico and firm sustainability commitment

Bancomext was the first BND to subscribe and sign the Sustainability Protocol of the ABM in December 2017, which fostered other Development Banks to increase efforts. In December 2019, the ABM officially reported 25 endorsers institutions (18 from the trade bank and 7 from the development bank).

• Technical Counseling and support for companies in the matter of environmental and social legislation

Besides promoting the fulfillment in environmental and social accredited or potential clients, the UGAS gives counseling to the related Mexican normativity to those companies that do not have specialized areas. The purpose is to fulfill with the procedure duties and environmental and social permits to ensure a regular operation and gradually foster environmental and social responsibility in companies.

• Collaboration and linking with government departments

There are collaboration and communication channels between authorities and government departments qualified in the normative and normative and the environmental and social management aspects (SEMANART, PROFEPA, SECTUR, SENER, CONAGUA, INAH, etc).  that have allowed to share experiences to enhance and technical abilities of the UGAS and Bancomext.

• Internal and external Institutional Campaign Coordination

Together with the institutional Program of Social Bank Responsibility, a Work Plan has been made to define the guiding principles and dissemination messages in affairs such as: water-consumption saving, energetic efficiency, atmospheric emissions reduction, adequate disposition and solid residues recycling. Bancomext contributes to social welfare and sustainable economic development.

SARAS results

1. Environmental and Social Evaluations (AyS) with first-tier operations

Ever since the beginning of SARAS in the closing of 2019, a total of 386 first-tier evaluations were financed, in which contractual requirements in environmental and social matters were determined, granting follow-up to fulfill the credit currency in the formal cases. Considering the number of operations, the 70% focus in six sectors: industrial plants, tourism, energy, trade companies, automotive and logistic and transport.