1 Eco-criteria for investment decision-making

2 Criteria (+): activities to encourage Bio-pesticidesBio-control Bio-fertilisersRenewable energies Efficient energyClean fuel AquacultureOrganic agriculture Health & safety Environmental management Pollution control Pollution prevention Recycling Waste management ReforestationEco-tourism Eco-data accessCorporate eco-donations Eco-educationNomad forest products

3 Sectors of major concern:  Energy and Mines  Petroleum and Chemicals  Agribusiness  Transportation  Recycling  Eco-Tourism Where CP can highly contribute to reduce risk and increase efficiency and profitability

4 Energy  Risks –Atmospheric emissions –Water contamination –Acoustic pollution –Safety  Opportunities –Alternative energies –Cost reduction

5 Mining  Risks –Environmental: air and water pollution –Occupational: health and safety  Opportunities –Genuine wealth creation –Production of quality durable goods

6 Agribusiness  Risks –Solid waste –Water and ground contamination –Public health  Opportunities –Organic Brands and distribution channels –Exportation opportunities through international standards

7 Banks’ requirements to obtain services in  Environmental risk assessment of business activities  Environmental footprint of investments, guaranties, leasing  Training for local bank staff  Development of new eco-products (capital risk investment fund, forest funds)  Identification of new business opportunities within client database

8 Competitive banking “In today's hyper-competitive financial services environment, incremental improvement is no longer enough. To be successful, firms need to undertake massive change - a fundamental reinvention of their strategies and operations that will allow them to delight customers, exceed investor expectations, and attract and retain the best and the brightest professionals.” Reinventing FINANCIAL SERVICES Succeeding With Corporate Transformation Deloitte Consulting and Deloitte & Touche 2001

9 Sustainable banking: trends  Avoid eco-risks, identify eco-business opportunities;  Internalise environmental costs & debts in company’s decision-making;  Total environmental accounting;  Capital markets increasingly value “green” capital;  Use of eco-criteria in decision-making;  New financial eco-products (eco-funds, eco-mortgage, renewable energy credits);  CP: prevention is better than end-of-pipe solutions  Efficient use of resources (water, energy);  Fewer, bigger banks.

10 Dow Jones Sustainability World Index Dow Jones Global Index (USD, Price Index) /936/9412/946/9512/956/9612/966/9712/976/9812/986/9912/996/0012/006/01

11 Financial eco-innovations Personal bankingCorporate banking Eco-mortgageEco-shares Eco-autosEco-financial derivatives Home-office: 2x1ESCO, Energy Service Co Eco-savingsBuild, Operate, Transfer Eco-leasingEco-loans Swap for debtEco-credit cards Eco-investment funds