Fostering corporate culture and ESG practices, creating a solid foundation for BIDV's sustainable development

The political report of the Congress of the Party Committee of the Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) identified the general goal: “ Improving leadership capacity, building a clean and strong BIDV Party Committee; ensuring the comprehensive leadership role of the Party Committee and grassroots party organizations; building BIDV into a leading BIG - STRONG - GREEN bank in Southeast Asia; in the TOP 100 Asian banks; Vision to 2045 in the TOP 50 Asian banks; pioneering in implementing social responsibility, serving the community; actively contributing with the whole country to enter a new era of development - an era of rich, prosperous, civilized and prosperous development of the Nation ”. To realize that vision, fostering corporate culture (VHDN) and practicing ESG are two important factors that always go hand in hand, creating a solid foundation for BIDV to firmly pioneer sustainable development in the new era.

1. Culture is the endogenous strength, the driving force for national development.

Culture not only creates national identity, but also fosters patriotism, self-esteem, and self-reliance - the fundamental values that make up the everlasting strength of the Vietnamese people throughout all periods of history.

On November 24, 1946, at the first National Cultural Conference, President Ho Chi Minh put forward the thesis: " Culture lights the way for the nation to go ". This thesis has become a governing principle, of fundamental and long-term significance, a "red thread" throughout the process of developing Vietnamese culture. In Resolution No. 33-NQ/TW, dated June 9, 2014, the 9th Conference of the Party Central Committee (11th term) on building and developing Vietnamese culture and people to meet the requirements of sustainable national development, our Party put forward the thesis: " Culture is the spiritual foundation of society, the goal and driving force for sustainable national development ". The documents of the 13th National Congress of the Party affirmed the role, position, significance and importance of cultural values and the strength of the Vietnamese people, " comprehensive human development and building an advanced Vietnamese culture, imbued with national identity so that Vietnamese culture and people truly become an endogenous strength, a driving force for national development and national defense ". The Draft Political Report of the 14th National Congress of the Party emphasized: people are both the center, the subject, the goal and the driving force of the development process. Promoting the role of the People as the center of cultural development, both the creative subject and the disseminator and beneficiary of cultural values.

It is the Party's early attention to building and developing culture that has shaped the identity and character of the Vietnamese people through each revolutionary period, thereby making the image of Vietnam increasingly recognized, respected and honored by international friends, contributing to enhancing the country's prestige and position in the international arena, while at the same time arousing the world's interest and understanding of the culture and people of Vietnam - a nation rich in identity and tradition.

2. BIDV Party Committee always cares about building and developing BIDV corporate culture.

With a history of 68 years of construction and development, in addition to pioneering the implementation of Party and State policies, implementing monetary policies, performing well in professional activities and social responsibilities, Vietnam Joint Stock Commercial Bank for Investment and Development (BIDV) always clearly recognizes the role, importance and focuses on promoting the construction and development of corporate culture, risk control culture (VHKSRR) and ESG practices, considering this as an invaluable asset, the foundation for sustainable development.

On July 15, 2022, the Joint Standing Committee of the Party Committee - Board of Directors and General Director of BIDV issued Resolution No. 636/NQLT-DU-HĐQT-TGĐ approving the content of BIDV's Cultural Handbook. On the same day, BIDV's Board of Directors issued Decision 666/QD-BIDV promulgating the Cultural Handbook. With the goal of building a comprehensive BIDV person with sufficient qualities in terms of thinking, ethics, lifestyle and cultural personality, on July 6, 2020, BIDV's Board of Directors issued Resolution No. 534/NQ-BIDV on Risk Control Culture. Recognizing the trend and the need to apply ESG to BIDV's general activities, the Board of Directors has completed the Steering Committee and Project Management Board to build and implement the Sustainable Development Strategy and overall ESG practices according to Decision No. 806/QD-BIDV dated July 3, 2024. It can be seen that the Party Committee, Board of Directors and General Director of BIDV have always paid attention to the development of corporate culture and the practice of ESG culture in the new era.

In addition, activities to build a culture of creative learning, reading culture, digital transformation culture, etc. are also regularly given attention by the Party Committee and BIDV's Board of Directors in directives, meetings of the Standing Committee, Executive Committee, Board of Directors, etc.

3. The process of implementing, building, and promoting BIDV's cultural values

BIDV's history is a journey of overcoming many ups and downs and challenges. Reality has proven that in the midst of those difficulties, challenges and tremendous pressures, with the strength of culture, BIDV people always unite, promote the intelligence, bravery and unique character of the most traditional commercial bank in Vietnam, creating proud achievements. Those good BIDV cultural values are a precious asset in terms of human resources, material resources and financial resources, passed down and nurtured through many generations of BIDV staff.

Since the 2000s, BIDV has implemented the Project to build and promote corporate culture. Accordingly, BIDV has summarized and drawn out BIDV's cultural identity with a number of characteristics: Unanimity, strong belief; dare to do and dare to take responsibility; methodical and cautious; solidarity from top to bottom; loyalty, attachment, friendliness. To synchronize internal values in line with the development orientation in the new period, in 2021, BIDV continued to implement the project to Standardize corporate culture. Research results have shown that: BIDV's culture has many characteristics of " family culture ", " cooperative culture " and " a big family with good family traditions ", with the following manifestations: (i) Having a tradition of solidarity, affection, mutual love; (ii) A peaceful, consensual atmosphere, based on "mutual advice" and appropriate order; (iii) The superiors "set an example" and the subordinates follow, respecting the "family rules" to maintain common discipline.

From the results of research and inheritance of traditional cultural values, BIDV cultural values are crystallized into 5 core values in BIDV Cultural Handbook including: Intelligence - Trust - Integrity - Professionalism - Aspiration , expressed through the phrase " i BIDV". i BIDV is expressed as a person full of intelligence, always ready to receive new knowledge, maintain credibility and trust, always respect honor, act honestly and professionally, carry within himself ambitions and aspirations.

BIDV also promotes a culture of creative learning, reading culture, and risk management. BIDV is the first bank to issue a Resolution of the Board of Directors on risk management with 8 core values: (1) Respect for the law - Compliance with regulations; (2) Proactively identify - Control risks; (3) Positive thinking - Responsible action; (4) Transparency in operations - Honest explanation; (5) Comprehensive control - Multidimensional monitoring; (6) Long-term thinking - Sustainable choices; (7) Learning from the past - Looking to the future; and (8) Risk control - Protecting achievements. This is the guideline for every thought and action of each officer in daily work.

- Lessons learned: The implementation of building and practicing corporate culture and its components has been carried out systematically, regularly, continuously, and persistently by the entire BIDV system from leaders to employees for many years, from the stages of research, survey, assessment, issuance of documents, regulations, organization, implementation, and propaganda in various forms such as conferences, seminars, talks, online and direct training programs, competitions to learn about corporate culture, sports, performances, etc. to practice and application in actual work. In particular, the exemplary role of heads of Party committees and leaders at all levels is extremely important. BIDV has organized many activities and programs to spread corporate culture and practice ESG throughout the system such as: organizing the VHKSRR Competition in 2022, creating a movement to study, research, and set an example of practicing risk control culture regularly and consistently in all BIDV activities. In 2024, BIDV successfully organized the "BIDV Cultural Ambassador 2024" contest with the participation of nearly 22,000 staff across the system, contributing to raising awareness and spreading BIDV cultural values .

4. Practicing ESG, building a comprehensive and synchronous BIDV cultural ecosystem

In recent times, the ESG culture at BIDV has been comprehensively implemented, from strategic thinking to specific actions. BIDV focuses on building a sustainable development strategy and overall ESG practices, aiming to become a Net Zero bank by 2045. ESG culture at BIDV is clearly demonstrated through research and development activities of sustainable financial products; pioneering the application of international practices and standards in governance and operations; always innovating, creating, and enhancing digitalization to save resources, improve efficiency and minimize environmental impact. BIDV is also one of the pioneering banks to effectively implement green finance projects and projects demonstrating social and community responsibility, focusing on priority areas (such as education, healthcare, supporting the poor and overcoming the consequences of natural disasters).

In recent years, ESG has become a trend and an inevitable requirement for countries and businesses in sustainable development. Recognizing this requirement, BIDV has pioneered the practice of ESG - a set of criteria to evaluate the sustainable performance and responsibility of an organization towards the Environment (E), Society (S) and corporate governance (G). ESG is not only a governance model, but also a cultural value that needs to be nurtured, imbued and spread throughout the system.

- Green transformation efforts (E): Identifying climate change as an important issue that greatly affects the overall operations of the entire bank, in recent years, BIDV has focused on designing green products, investing in green projects, renewable energy projects according to international standards, global standards, etc. with outstanding loans by the end of the first quarter of 2025 reaching over 81 trillion VND.

- Contributing to building a sustainable society (S): BIDV is always active in the journey of supporting the community through social security and charity activities such as: BIDV RUN - Warm Tet for the poor, For Green Life, building community cultural houses to avoid floods; fresh water for Green Life, 1 million tree planting program..., spreading humanistic values to customers and the public.

- Promoting transparent and effective governance (G): BIDV conducts corporate governance in compliance with the provisions of the law on corporate governance for large-scale public companies and listed enterprises, fostering "trust" with customers, shareholders, employees and the social community. Promoting the value of "integrity", valuing business ethics, thoroughly implementing the Party and State's policies and guidelines on preventing corruption, negativity and crime.

BIDV identifies ESG practice as a BIDV culture in BIDV's overall corporate culture. Comparing the implementation of corporate culture in general and the individual cultures in particular over the years, it can be seen that ESG practice also needs to be implemented systematically and professionally, as BIDV has implemented corporate culture over the years (from the stages of building regulations, education, propaganda, practice, etc.). ESG practice together with corporate culture practice will create a comprehensive and synchronous BIDV corporate culture ecosystem.

5. Continue to foster corporate culture, practice ESG, create a foundation for BIDV to develop sustainably

Paying attention to corporate culture and ESG practices not only contributes to enriching BIDV's corporate culture but is also a practical way to build a strong, high-quality, and cohesive workforce, creating the image, reputation, position, and sustainable development of BIDV. Some solutions to continue promoting corporate culture and ESG practices at BIDV in the coming time include:

Firstly, continue to promote political education, ideology, revolutionary ethics, associated with studying and following Ho Chi Minh's ideology, ethics and style. Promote the exemplary role of leaders in implementing and spreading corporate culture, creative learning culture, risk control culture, reading culture, green culture. "What leader - what movement", each branch secretary and party committee only needs to pay attention to selecting specific content to deploy corporate culture in their unit, that is the way to contribute bricks to build a sustainable common house of BIDV.

Second, strengthen the development and practice of corporate culture and ESG through daily practical activities and specific activities, not just through written documents. Continue to promote the role of mass organizations such as the Trade Union and Youth Union in mobilizing, connecting and arousing the positive spirit of union members and employees in practicing BIDV culture.

Third, promote the application of digital technology in corporate governance, corporate governance, and ESG in conjunction with the process of banking modernization and transparent information management. Promote the development of digital culture throughout the system, creating a new foundation for the sustainability of cultural values in the digital transformation era.

Fourth , continue to train and develop the team of "BIDV Cultural Ambassadors". These are the core elements that spread cultural values internally and to the public and customers. Through competitions, contests, and movements, on the one hand, create motivation to learn and practice culture for each staff member, on the other hand, discover and build a team of typical BIDV staff that is increasingly strong in quantity and quality.

Fifth , gradually integrate ESG criteria into individual and unit performance evaluation (KPI). This is the key solution to transform ESG from vision into specific, measurable, assessable, and adjustable behavior.

Sixth, strengthen the inspection, monitoring, evaluation, and measurement of awareness and practice of VHDN in each unit in a flexible and appropriate manner. Establish a timely reward mechanism for outstanding collectives and individuals, and at the same time take measures to correct and remind units and individuals who have not fully implemented or are still in a formal manner. Through internal communication channels, share effective practice models, spread the spirit of self-awareness and initiative, so that each cadre feels the "need" rather than "must" to practice VHDN.

After 68 years of construction and development, BIDV has become the largest bank in Vietnam in terms of total assets, recognized and highly appreciated by the Party, State, Government of Vietnam and other countries, domestic and foreign organizations, customers, partners, and the social community. This is a testament to the importance of building and promoting corporate culture values and ESG practices for BIDV's sustainable development. BIDV's unique cultural values and identities will continue to be the luggage to bring BIDV to new heights, actively contributing to the implementation of development goals according to the orientation of the Party, State, Government, and the Banking Industry and realizing the vision of becoming a Big - Strong - Green bank in the next 5 years.

Ha An