ESG Policy - ESG - Dah Sing Bank

Introduction of the ESG Policy of the Group

1.1.

Dah Sing Financial Group (“Group”) believes that long-term success comes from doing business responsibly. Our commitment to environmental, social and governance (“ESG”) principles reflects our dedication to ethical values, respect for people and communities, and care for the environment.
We aim to embed ESG considerations into our daily operations and decision-making, helping to create lasting value for our stakeholders and the communities we serve.

1.2

Our ESG Policy outlines our approach and priorities, developed by our ESG Committee (“the Committee”) with input from across the Group. It guides how we integrate ESG into our business practices and supports our role as a responsible corporate citizen.

Approach and Principles

2.1.

While our ESG Policy applies across the entire Group, our overseas subsidiaries may adapt it to suit local regulations, market conditions, and community needs.

Roles and Responsibilities

3.1.

The Board of Directors supports our ESG commitment. The Committee, comprising members of Management of the Group, is responsible for setting the ESG strategy and directing the ESG activities. The Committee also reviews, approves, supervises and monitors the implementation of all ESG initiatives. Various support teams working under the direction of the Committee are responsible for promotion, support and organisation of ESG activities.

3.2.

Details of the Group's ESG governance structure and the roles and responsibilities of the Committee are outlined in the Terms of Reference of the ESG Committee.

3.3.

The ESG Policy and activities will be communicated to the stakeholders as appropriate.

Approach and Principles

4.1.

The Group's ESG activities are in line with its strategy, mission, guiding principles and values as well as its corporate governance framework. We focus on sustainable development, and the promotion of responsible practices across the four ESG pillars:

4.1.1. Marketplace

To uphold the highest standards of governance and a set of core ethical values including honesty, integrity, diligence, fairness, responsible citizenship and accountability in conducting business;
To provide a diverse range of products and services to enable customers to select the solution that best suits their needs;
To support social investments that support and encourage SMEs to adopt ESG practices as part of a macro transition towards a low carbon economy
To educate, encourage and/or support customers in decarbonisation efforts as part of the Group's transition plan
To coordinate and manage decarbonisation efforts in the Group's financed emissions to achieve net zero by 2050 as part of the Group's transition plan
To provide clear and honest information to customers to help them make informed decisions;
To listen to customer feedback, continually enhance customer service and customer satisfaction;
To ensure privacy of customer data;
To promote sustainable business practices through assessing the potential environmental and social impact when deciding to make a loan or investment; and
To use suppliers that act in an environmentally, socially and ethically responsible manner.

4.1.2. Green and Sustainable Banking (GSB) Implementation Task Force

To develop relevant strategies and road map on implementing the overall GSB framework and incorporating GSB into day-to-day operations of the Dah Sing Banking Group (“DSBG”) including Dah Sing Bank, Banco Comercial de Macau, Dah Sing Bank (China) and OK Finance;
To coordinate the development of work plans by relevant business and support units for the achievement of GSB implementation and monitor the progress of development;
To ensure compliance with the regulatory requirements on GSB under HKMA's Supervisory Policy Manual on Climate Risk Management (“GS-1”).

4.1.3. Customer Centricity Committee

To develop strategy and action plan, including targets and KPIs to continuously improve customer experience and satisfaction;
To coordinate and monitor the execution of bank-wide customer-centricity initiatives; and
To foster a culture of customer-centricity through communication and capacity building.

4.1.4. Workplace

To treat employees fairly and equally, respect their human rights, ensure employment practices that uphold equal opportunity and non-discrimination are in place;
To provide competitive and fair reward and recognition;
To provide a safe and healthy working environment;
To support employee wellness, work-life balance and family friendly practices;
To encourage open communication and provide channels for employees to express their concerns; and
To nurture talent and support continuous development of employees.

4.1.5.Community

To work with partners to support community programmes that bring about positive social impact for youths and that contribute to the development of a low-carbon sustainable economy in Hong Kong, the Greater Bay Area and beyond;
To provide resources to encourage and facilitate employees to participate in volunteering service and charitable activities related to youth development as well as environmental advocacy; and
To contribute to sustainable economic development of Hong Kong and the Greater Bay Area region via supporting SMEs, job creation, e.g. internship, and raising financial literacy in the community.

4.1.6. Environment

To use eco-friendly materials and supplies;
To reduce waste production, energy consumption, water consumption and paper consumption;
To increase recycling;
To prevent pollution and reduce carbon footprint;
To promote environmentally responsible practices among employees, customers, suppliers, contractors and business partners; and
To encourage suppliers to adopt sustainable initiatives for promoting sustainable procurement practices.

Environment Workshop

To set direction, objectives, work plans, budgets and key performance indicators (“KPI(s)”) under Environmental Pillar, for respective subsidiaries and/ or on group level, on an annual basis;
To lead, coordinate, set targets and manage decarbonisation efforts in the Group's operations to attain carbon neutrality in operational emissions by 2030 as part of the Group's transition plan
To provide quarterly updates to the Group's ESG Committee on the Group's key environmental efforts and KPI performance;
To cultivate and promote the Group's green culture and encourage staff participation in green initiatives; and
To support the preparation of the Group's ESG reports through collection and submission of data related to its environmental efforts, as well as through provision, checking and confirmation of content in respect to the Group's environmental efforts during the year under review.

5.	ESG Review and Disclosure
	5.1	The Committee regularly reviews the ESG practices and performance and reports to the Board of Directors. The Group's ESG performance is disclosed on an annual basis in the Group's ESG Report.

Review of This Policy

6.1

Our ESG policy will be reviewed annually or as required to ensure its relevance and effectiveness.

Version history of our ESG Policy
Last version: 17 Jan 2022
Current version: 19 Aug 2025 (approved by our Boards of Directors)