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Sumitomo Mitsui Financial GroupJapan
Active
This profile is actively maintained
Last update: 2024-12-17 11:10:39
Sumitomo Mitsui Financial Group head offices. Photo: 撮影。via Wikimedia Commons (CC BY-SA 3.0)
Active
This profile is actively maintained
Last update: 2024-12-17 11:10:39
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About
| Website | http://www.smbc.co.jp/global/index.html |
| Headquarters |
1-1-2, Marunouchi, Chiyoda-ku
100-0005 Tokyo
Japan
|
| CEO/chair |
Toru Nakashima Group CEO |
| Supervisor | |
| Ownership |
listed on Tokyo Stock Exchange
SMFG, Sumitomo Mitsui Financial Group, is the holding company of which SMBC is a wholly owned subsidiary. SMFG's shareholder structure can be accessed here. |
| Subsidiaries |
Sumitomo Mitsui Financial Group (SMFG) was established in April 2001 through the merger of Sakura Bank and the Sumitomo Bank. Sakura Bank was a descendant of Mitsui Bank, founded in 1876, with operations dating back to 1683. Sumitomo Bank was a Japanese bank, founded in 1895. SMBC is the second largest bank of Japan and also holds branches in the United States, Canada and Europe. SMFG was established as a bank holding company in December 2002.
Sustainability
Commitments
Policies
Voluntary standards
SMFG's most important sustainability commitments can be found at the website sections listed below.
Sumitomo Mitsui Financial Group has committed itself to the following voluntary standards:
Dodgy Deals
Sumitomo Mitsui Financial Group is linked to a number of companies and projects that BankTrack considers controversial (so called Dodgy Deals), e.g. as a current or past financier or through an expression of interest. The profiles below provide more details on the nature of Sumitomo Mitsui Financial Group's link to these deals.
Projects / Companies
Finance type
Year
News
BankTrack
Partners
Blog
External
Resources
Documents
Videos
Links
EACOP: a crude reality, documentary
Accountability
Grievances
Response
tracking
Sumitomo Mitsui Financial Group (SMFG) does not operate a complaints channel for individuals and communities that may be adversely affected by its finance.
Stakeholders may raise complaints via the OECD National Contact Points (see OECD Watch guidance).
SMFG is an Equator Principles signatory. While the Equator Principles have no official grievance mechanism, complaints relating to this bank's financing of Equator Principles projects can be filed through our own website www.equator-complaints.org.
This page evaluates Sumitomo Mitsui Financial Group's responses to instances of alleged human rights violations linked to its finance, raised by civil society organisations. It is not intended to be exhaustive, but covers selected impacts raised by BankTrack and other civil society partners since 2016. For the full scoring methodology, see here. For more information about BankTrack's evaluation of bank responses to human rights impacts, see the 2021 report "Actions speak louder: assessing bank responses to human rights violations".
Impacts reviewed
Responded?
Total score
Response
Action
Monitoring
JSW Utkal steel and coal, India (February 2025)
0
0
0
n/a
Response
0
Out of 1
Rationale for score
The bank responded, but chose to "refrain from commenting on the individual project." Action
0
Out of 1
Rationale for score
The bank stated it had shared the letter with the relevant departments, but no information is available on whether the bank engaged with its client or took appropriate action. Monitoring
n/a
Rationale for score
The impact was not raised over a year ago and therefore is not scored on monitoring progress. More info
Banks and Dirty Diesel: Vitol and Trafigura (May 2017)
0
0
0
0
Response
0
Out of 1
Rationale for score
The bank did not respond. Action
0
Out of 1
Rationale for score
No information available on whether the bank engaged with its client or took appropriate action. Monitoring
0
Out of 1
Rationale for score
No information available on whether the bank monitored progress. More info
Complicity in Destruction IV: Mining and Indigenous Rights in the Amazon (March 2022)
0
0
0
0
Response
0
Out of 1
Rationale for score
The bank did not respond. Action
0
Out of 1
Rationale for score
No information available on whether the bank engaged with its client or took appropriate action. Monitoring
0
Out of 1
Rationale for score
No information available on whether the bank monitored progress. More info
East African Crude Oil Pipeline (March 2021)
1
0.5
0.5
0
Response
0.5
Out of 1
Rationale for score
The bank publicly said it is not "currently involved" in financing EACOP, but it did not speak to the substance of the issues raised. Action
0.5
Out of 1
Rationale for score
The bank took appropriate action by stating that it would not provide finance to the project; however, the bank remains exposed to TotalEnergies, the project developer, and it has not (yet) set out specific actions that it requires (or will require) the company to take to address the impacts raised. Monitoring
0
Out of 1
Rationale for score
No information available on whether the bank monitored measures taken by its client to address the impacts associated with the project. IOI Corporation labour standards violations (February 2016)
0
0
0
0
Response
0
Out of 1
Rationale for score
The bank publicly responded only to say that they could not comment. Action
0
Out of 1
Rationale for score
No information available on whether the bank engaged with its client or took appropriate action. Monitoring
0
Out of 1
Rationale for score
No information available on whether the bank monitored progress. More info
UN human rights complaint regarding Saudi Aramco and its financiers (July 2023)
0
0
0
0
Response
0
Out of 1
Rationale for score
The bank responded publicly but it did not acknowledge a link to the impacts raised or to the company in question. Action
0
Out of 1
Rationale for score
The bank did not provide information on whether it has engaged with its client or took appropriate action on the impacts raised. In its response, the bank outlined its approach to climate change and human rights more broadly. Monitoring
0
Out of 1
Rationale for score
No information available on whether the bank monitored progress. More info
Santos' Barossa gas project, Australia (July 2023)
0
0
0
0
Response
0
Out of 1
Rationale for score
The bank did not respond. Action
0
Out of 1
Rationale for score
No information available on whether the bank engaged with its client or took appropriate action. Monitoring
0
Out of 1
Rationale for score
SMBC did not acknowledge the grievance brought by Equity Generation Lawyers or respond to it, despite having committed to the UNGPs. More info
ArcelorMittal steel impacts (June 2024)
0
0
0
n/a
Response
0
Out of 1
Rationale for score
The bank's confirms that the information has been shared with relevant departments, but the response neither acknowledges its link to the impact, nor ArcelorMittal. Action
0
Out of 1
Rationale for score
No information available on whether the bank engaged with its client or took appropriate action. Monitoring
n/a
Rationale for score
The impact was not raised over a year ago and therefore is not scored on monitoring progress. More info
Impacts of Indonesia’s state electricity company PLN (March 2025)
0
0
0
n/a
Response
0
Out of 1
Rationale for score
The bank's response neither acknowledges its link to the impact, nor addresses the issues raised. Action
0
Out of 1
Rationale for score
No information is available on whether the bank engaged with its client or took appropriate action. Monitoring
n/a
Rationale for score
The impact was not raised over a year ago and therefore is not scored on monitoring progress. More info
See the letter BankTrack sent the bank here.
Average
67%
0.11
0.06
0.06
0
Banks and Climate
Banks and Climate
The 2024 Banking on Climate Chaos report showed that Sumitomo Mitsui Banking Corporation provided US$ 212.158 Billion in financing to the fossil fuel industry between 2016 and 2023. In 2023 only, Sumitomo Mitsui Banking Corporation provided US$ 11.463 Billion for oil, gas and coal companies expanding fossil fuels. Find further details on Sumitomo Mitsui Banking Corporation fossil fuel portfolio and how it compares to other large banks globally on Fossil Banks No Thanks and in the Banking on Climate Chaos report.
Partner organisation Reclaim Finance tracks the coal, oil and gas policies of financial institutions, including banks, in their Coal Policy Tool (CPT) and the Oil and Gas Policy Tracker (OGPT). BankTrack works closely with Reclaim Finance and endorses their policy assessments. Find further details on their assessment of Sumitomo Mitsui Banking Corporation’s fossil fuel policy below.
Banks and Human Rights
Banks and Human Rights
BankTrack assessed Sumitomo Mitsui Financial in its 2024 Global Human Rights Benchmark, where it achieved 7.5 points out of 15 and was ranked as a “moderate achiever”.
The bank scored 0.5 out of 3 points on the new “specific rights indicators”, which assess how banks address human rights defenders, Indigenous Peoples’ right to Free, Prior and Informed Consent and environmental rights in their policies and practices.
In addition, Sumitomo Mitsui Financial scored 0.14 out of 3 on how it responds to alleged human rights violations linked to its finance, which were raised by civil society organisations. More information is detailed in the “Accountability” section of this profile.
The table below shows BankTrack's assessment of how Sumitomo Mitsui Financial has implemented the UN Guiding Principles on Business and Human Rights. Please click on 'expand all details' and 'explanation' for further information on the methodology.
Our policy assessments are always a work in progress. We very much welcome any feedback, especially from banks included in the assessments. Please get in touch at humanrights@banktrack.org.
Global Human Rights Benchmark 2022
BankLast update
Country
Score
Ranking
Details
Sumitomo Mitsui Financial Group
JPN
5
Follower
5
0
Explanation
Laggard
Follower
Front runner
Leader
0 - 3 points
3.5 - 6.5 points
7 - 10 points
10.5 - 14 points
For more details see this page.
Global Human Rights Benchmark 2024
BankLast update
Country
Score
Ranking
Details
Sumitomo Mitsui Financial Group
JPN
7.5
Moderate achiever
7.5
0
Explanation
Laggard
Follower
Moderate achiever
Leader
0 - 3 points
3.5 - 7 points
7.5 - 10.5 points
11 - 15 points
For more details see this page.
Banks and Nature
Banks and Nature
SMFG’s policies for forest-risk sectors (beef, soy, palm oil, pulp and paper, rubber and timber) have been assessed by the Forests & Finance coalition, achieving an overall score of 3.9 out of 10 and ranking it as a follower. SMFG achieved a score of 2.9 out of 10 specifically for its policies related to the beef sector and 6.3 out of 10 for its policies related to the palm oil sector. In addition, BankTrack and the Environmental Paper Network have assessed SMBC’s policies related to the pulp and paper sector.
Between 2016 and 2022, SMFG provided USD 6,007 million in credit to companies operating in these forest-risk sectors and held investments amounting to USD 79 million as of 2022. For more information, see the links below.
Forest & Finance Policy Assessment 2022: Overall scores
BankLast update
Country
Score
Ranking
Details
Explanation
A bank can obtain a total of 10 points for the quality of its policies. The total score is based on their scores per sector, weighted against their financing and investment for each sector. For further details on this see here. Based on their overall score, banks are then classified as Laggards, Followers, Front runners or Leaders, as follows:
Laggard
Follower
Front runner
Leader
0 - 1 points
1 - 4 points
4 - 7 points
7 - 10 points
For more details see this page.
Forest & Finance Policy Assessment 2022: Beef
BankLast update
Country
Score
Ranking
Details
Explanation
A bank can obtain a total of 10 points for the quality of its beef policy. The total score is based on their scores per sector, weighted against their financing and investment for each sector. For further details on this see here. Based on their overall score, banks are then classified as Laggards, Followers, Front runners or Leaders, as follows:
Laggard
Follower
Front runner
Leader
0 - 1 points
1 - 4 points
4 - 7 points
7 - 10 points
For more details see this page.
Forest & Finance Policy Assessment 2022: Palm Oil
BankLast update
Country
Score
Ranking
Details
Explanation
A bank can obtain a total of 10 points for the quality of its palm oil policy. The total score is based on their scores per sector, weighted against their financing and investment for each sector. For further details on this see here. Based on their overall score, banks are then classified as Laggards, Followers, Front runners or Leaders, as follows:
Laggard
Follower
Front runner
Leader
0 - 1 points
1 - 4 points
4 - 7 points
7 - 10 points
For more details see this page.
Tracking the NZBA
Tracking the Net Zero Banking Alliance
Sumitomo Mitsui Financial Group is a member of the Net Zero Banking Alliance (NZBA) and has therefore committed to reduce its financed emissions to net zero by 2050; within 18 months of joining the alliance set interim targets for 2030 (or sooner) for high emission priority sectors, and within 36 months set further sector targets; set new intermediary targets every 5 years from 2030 onwards; annually publish data on emissions and progress against a transition strategy including climate-related sectoral policies; and take a robust approach to the role of offsets in transition plans. BankTrack track's implementation of these commitments in the NZBA compliance tracker.
Banks and Russia
Banks and Russian Aggression in Ukraine
BankTrack is keeping track of the public response of Sumitomo Mitsui Financial Group (SMBC) to Russia's illegal invasion of Ukraine. Sumitomo Mitsui Financial Group (SMBC) did not publicly condemn the war. Sumitomo Mitsui Financial Group (SMBC) is considered by Leave-Russia.org to be "pausing investments" with its operations in Russia. We consider its exposure to Russia as limited, with over $3.7bn of financial assets. Sumitomo Mitsui Financial Group (SMBC) supports the Russian fossil fuel industry through investments, loans, and underwriting. For further details, see the table linked below.
Banks and Steel
Banks and Steel
Partner organisation Reclaim Finance’s 2023 report on metallurgical coal financing showed that SMBC Group provided US$ 12 billion in loans and underwriting to developers of new metallurgical coal between 2016 and 2022. Find further details on SMBC Group’s metallurgical coal financing and and how it compares to other large banks globally in the report.
Reclaim Finance tracks the metallurgical coal policies of financial institutions, including banks, in their Coal Policy Tool. BankTrack works closely with Reclaim Finance and endorses their policy assessments. Find further details on their assessment of SMBC Group’s metallurgical coal policy below.
According to a report by Reclaim Finance, between 2016 and June 2023, SMBC Group provided $6.7 billion in finance to the fossil-steel industry, making it the 15th largest financier worldwide. Find further details on SMBC Group's steel financing and how it compares to other large banks globally in the report.
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