[Evolving CSR] KB Kookmin Card Internalizes Social Responsibility Management... "Eco-friendly & Future Generation Development"

Warm Management Initiatives by Card Companies ③ KB Kookmin Card
'Internalizing Responsible Management for Society' Goal
Expanding Eco-Friendly Social Contribution Activities
Financial Education for Children and Adolescents
Global Social Contributions Including Cambodia
Special COVID-19 Financial Support for Small and Medium Merchants

Editor's NoteThe methods of social contribution by card companies are evolving. This is due to the growing emphasis on corporate social responsibility for sustainable management, including non-financial factors such as environment, society, and governance, beyond just financial indicators. Social responsibility is becoming more prominent in financing, and the targets of social contribution are expanding to children and youth, local communities, natural environment, and culture and arts. Especially this year, card companies are conducting various social contribution activities, including financial support for financially vulnerable groups affected by the COVID-19 pandemic, as well as marketing analysis using big data. Asia Economy presents a series on the social contribution activities of individual card companies leading warm-hearted management.

At the 'Support Ceremony for Social Enterprises and Vulnerable Groups to Overcome COVID-19' held last August at the KB Kookmin Card headquarters in Jongno-gu, Seoul, Lee Dong-cheol, President of KB Kookmin Card (center), is delivering a sponsorship fund of 200 million won to Park Doo-jun, Executive Director of the social welfare corporation 'Children and Future Foundation' (left), and Kim In-seon, President of the 'Korea Social Enterprise Promotion Agency' (right) to support social enterprises and vulnerable groups.

[Asia Economy Reporter Ki Ha-young] KB Kookmin Card is expanding its social contribution activities with the goal of 'internalizing responsible management for society' and realizing the values of co-prosperity and mutual growth. In particular, related to one of KB Financial Group's key management strategies, 'Leading sustainable management based on Environment, Social, and Governance (ESG),' the company has systematically established strategic directions to fulfill corporate social responsibility and take the lead in environmental protection.

Notably, it continues to carry out eco-friendly social contribution activities such as creating forests to reduce fine dust and supporting urban environment restoration projects. In May, in collaboration with Seoul City, it created the 'Tree Love Challenge Forest' in Seongsan Green Area, Mapo-gu, aimed at reducing fine dust and improving the urban environment. Social contribution activities for future generations, including children and youth, are also expanding. Especially for financial and economic education targeting children and youth, KB Kookmin Card is strengthening digital and mobile-based educational content and plans to diversify social contribution activities in line with social trend changes by expanding support for non-face-to-face education such as video lectures and online discussions.

The scope of social contribution activities is also expanding globally, actively promoting social contribution activities to improve the welfare of children and youth in key countries where Kookmin Card operates, such as Cambodia, Myanmar, and Indonesia.

Activities that realize the values of co-prosperity and mutual growth also attract attention. Since February, Kookmin Card has been providing special financial support, including payment deferrals and loan principal repayment postponements, to small and medium-sized merchants affected by COVID-19. To support financial aid for small merchants, it issued 'ESG bonds,' special purpose bonds used for eco-friendly or social value creation, worth 100 billion KRW in June and additionally issued bonds worth 150 billion KRW in October.

Through the startup accelerating program 'Future Nine,' it nurtures startups and new ventures and is conducting investments through strategic investment funds. It is also strengthening support for small business owners and self-employed individuals through innovative financial services such as the 'Get Back Service,' which reduces merchant fees, and 'Credit Tree,' a comprehensive credit evaluation service specialized for individual business owners, along with data consulting support. Including timely funding through social bond issuance, it plans to expand inclusive financial support for mutual growth by improving liquidity for small merchants.

Besides these, Kookmin Card is committed to strengthening corporate social responsibility through social support and public interest activities in various fields. In April, it launched a big data-based marketing support service for small and medium-sized merchants that sends advertising messages containing discount offers to customers desired by the merchants, utilizing Kookmin Card’s big data and marketing infrastructure. It also provided card sales big data free of charge to local governments nationwide for analyzing the regional economic impact of COVID-19 and establishing policy measures.

A Kookmin Card official said, "We will continue to do our best in corporate social responsibility and make company-wide efforts to promote and support projects that can enhance social value in various forms, including eco-friendliness, social contribution, and co-prosperity."