Strengthening initiatives to address climate change

Mizuho Financial Group, Inc. (President & CEO: Masahiro Kihara) has included responding to climate change as a key pillar of our business strategy, and we are harnessing our group-wide capabilities to contribute to achieving a low-carbon society (net zero greenhouse gas emissions, hereafter referred to as GHG) by 2050. To further our progress in this area, we have strengthened the following initiatives.

1. Automotive and maritime transport sectors: Setting new medium-term targets for financed emissions (Attachment 1)

At Mizuho, we are setting medium-term sector-level GHG emission reduction targets (to be reached by FY2030) in order to reduce our financed emissions.

We had already set targets for the electric power, oil and gas, and coal mining (thermal coal) sectors, and we have recently set medium-term targets for the automotive and maritime transport sectors.

Sector	Scope(s)	Medium-term targets for FY2030
Automotive	Scope 1, 2	Absolute GHG emissions (ktCO₂e): Reduce by 38% from FY2021 level
Automotive	Scope 3, Category 11 (use of sold products)	GHG emission intensity (gCO₂e/vkm, Well-to-Wheel): Reduce by 31–43% from FY2021 level
Maritime transport	Scope 1 (vessel operation)	Portfolio climate alignment score: 0% or less

We are planning to set targets for the steel and real estate sectors by the end of FY2023 (to be disclosed at the beginning of FY2024).

2. Clarifying the support system for green projects in high-risk areas in the carbon-related sectors (Attachment 2)

At Mizuho, as a risk control measure for the carbon-related sectors, we have established a system to identify and monitor high-risk areas by evaluating risk along two axes: (1) our clients’ sectors and (2) our clients' status of responses to transition risks.

Under the "transition support framework" where we assist our clients in high-risk areas to transform their business structures, etc., our support has formerly been centering on clients whose transition strategies' credibility and transparency we can confirm. This time, we have clarified the scope of this framework to provide more active support for projects that can be confirmed as green projects (renewable energy, etc.).

Support for projects that can be confirmed as green projects (renewable energy, etc.)

(confirmation criteria)

We have set the confirmation criteria of "Use of proceeds," "Process for project evaluation and selection," "Management of proceeds," "Reporting," and "Client's policy for addressing transition risks" based on the elements recommended in the "Green Loan Principles" developed by the Loan Market Association (LMA,) Asia Pacific Loan Market Association (APLMA,) Loan Syndications and Trading Association (LSTA.)

Mizuho is promoting an integrated approach to address climate change under the Net Zero Transition Plan^*1, focusing on the three areas - contributions to transition in the real economy, capturing business opportunities, and appropriate risk identification and management. Going forward, we will continue to mobilize the full potential of our group to meet the challenges of achieving a low-carbon society, working with a wide range of stakeholders including our clients.

*1 See pp. 22-24 of our TCFD Report – Climate-related Report – 2023 for details of the Net Zero Transition Plan.
"Publication of TCFD Report -Climate-related Report- 2023," press release dated June 15, 2023
https://www.mizuhogroup.com/news_release/20230615release_eng.html

（Appendix 1）Financed emissions (PDF/226KB)
（Appendix 2）Clarifying the support system for green projects in high-risk areas in carbon-related sectors (PDF/161KB)

PDF for print (PDF/286KB)