Thailand is grappling with a mix of structural and external challenges, from high household debt and declining competitiveness to geopolitical tensions, trade wars and mounting climate pressures. With the European Union’s Carbon Border Adjustment Mechanism (CBAM) set to take effect in 2026-expanding its impact on Thai exports from goods worth 11 billion baht today to an estimated 28 billion baht by 2030-businesses are being urged to adapt swiftly to stay competitive.
Against this backdrop, Kasikornbank (KBank) has reviewed and refined its sustainability strategy to better respond to shifting conditions and the needs of customers and society. The Bank has moved beyond the conventional ESG (environmental, social and governance) framework to adopt an issue-based approach, integrating perspectives across all dimensions and placing core objectives at the heart of its operations.
Issue-based Strategy
Guided by its commitment to lead all sectors in navigating challenges and achieving shared sustainable growth, the KBank Sustainability Strategy 2025 has been developed under this issue-based concept. The approach emphasises holistic management of key issues, integrating environmental, social and governance dimensions, and is defined by three core objectives:
Be a Most Trusted Bank: Serve as a trusted institution, supporting stakeholders in navigating challenges and achieving sustainable growth through service excellence, governance and integrity.
Reinforce Future-Ready Resilience: Strengthen the ability of the Bank and its stakeholders to navigate uncertainties and unlock growth opportunities through risk management, innovation and capability development.
Enable Inclusive Growth: Empower stakeholders to reach their full potential and drive sustainable growth through a just transition to a low-carbon economy, financial empowerment and equity.
Under this strategy, KBank aims to drive growth while embedding sustainability across its operations, thereby unlocking opportunities to deliver positive impacts across multiple dimensions.
Strengthening Capabilities to Enhance Resilience
KBank sees itself not only as a financial services provider but also as a partner in building resilience for customers, businesses and society. It offers comprehensive financial solutions together with knowledge and tools essential for sustainable growth.
Innovative and efficient financial solutions: The Bank is enhancing end-to-end credit transformation while adopting a proactive risk management strategy. By applying data and AI, it improves efficiency, accuracy and responsible lending aligned with customer potential. Focus areas include commercial credits for medium-sized enterprises and project finance subject to 100% ESG risk assessment. The Bank has also increased its sustainable finance and investment target to 400-500 billion baht by 2030.
KBank continues to innovate across all segments, from expanding retail loan access via KIV, to promoting environmentally friendly vehicles through KLeasing, and supporting industry transitions to alternative energy via KF and E solutions. In sustainable investing, KAsset has maintained the No. 1 market share in Thailand for ESG and SRI funds, with assets under management of 38.9 billion baht and 37.9 billion baht, respectively. The Beacon Impact Fund also invests in start-ups delivering positive social and environmental outcomes.
Impacts beyond finance: KBank works to elevate financial literacy and ESG awareness across society. Initiatives include the ‘SATI’ campaign, which has reached more than 16.4 million people with anti-fraud awareness; economic and ESG insights by KResearch, engaging over 6.58 million readers; and K SME Care, which has provided expert guidance, networking and growth tools to more than 1.8 million SMEs.
The Bank also invests in skills development, launching SKILLKAMP with 355 digital courses and 8,000 participants, and KATALYST, which has supported 155 start-ups through mentorship and workshops to foster sustainable growth.
Accelerating Climate Transition to Secure a Sustainable Future
KBank declared its Net Zero Commitment in 2021 and has set its sights on becoming ‘The Most Comprehensive Climate Solution Provider’-moving beyond finance to help customers build long-term competitiveness and resilience.
Pursuing this mission has already generated transformative outcomes. By 2024, the Bank reduced greenhouse gas emissions from its operations by 17.02% compared with the 2020 baseline. Key initiatives included the installation of solar PV systems across all major buildings and 161 branches, the deployment of more than 354 electric vehicles, and the maintenance of carbon neutrality certification for eight consecutive years (2018-2025).
KBank is also driving its loan portfolio towards Net Zero in alignment with Thailand’s nationally determined contribution (NDC) goals. It has developed a sectoral decarbonisation strategy to manage and support the transition in six key industries: power generation, upstream oil and gas, thermal coal mining, cement, aluminium and automotive. Notably, the Bank’s power sector portfolio reduced its greenhouse gas emission intensity per gigawatt hour by 26% in 2024 compared with the 2020 baseline.
To support clients, KBank provides financial, knowledge and technological solutions for low-carbon transitions. By August 2025, cumulative ESG loans and investments exceeded 173 billion baht, helping reduce more than 2.74 million tonnes of CO2 equivalent. These included over 39,000 electric vehicle loans, green building loans covering more than 1 million square metres, and financing for more than 500 sustainability projects.
Looking ahead, KBank has refined its sustainable finance target to 400-500 billion baht by 2030. Beyond lending, it is creating a carbon ecosystem through initiatives such as advisory services for greenhouse gas reduction, the KClimate1.5 tool for inventory preparation, the Creative Climate Research Center, and platforms including Watt’s Up for e-bikes, Green Pass for renewable energy certificates, and K-GreenSpace for easier access to green living solutions.
Recognising that no single institution can achieve systemic change, KBank has also partnered with the private sector, government, academia and financial peers to establish the Thailand Climate Business Network (Thai CBN). With more than 34 member organisations, Thai CBN is advancing practical climate-related measures from SME operations to national policy. Its initiatives include an E-Handbook for Greener SMEs and a White Paper on Climate Ecosystem Collaboration delivered to the government.
Mr Chongrak concluded: ‘KBank has consistently operated on the principle of being a sustainability bank. By integrating sustainability into every mission and fostering collaboration across all sectors, we are building a resilient and balanced foundation for stakeholders. This will ensure that every life and business can move forward, overcome challenges and grow with stability and sustainability.’