In 2024, global geopolitical tensions continued to intensify, extreme weather events occurred frequently, and disruptive AI technology presented unprecedented challenges and opportunities. Amid of these turbulent changes, TCFHC remained steadfast in its core value of integrity. This company continuously strengthened corporate governance, advanced financial transformation and innovation, and fostered inclusive and mutually beneficial social development. Together with its employees, customers, and shareholders, TCFHC remained committed to enhancing competitiveness and moving toward a sustainable future.
To reinforce its sustainable development strategy and actions, TCFHC established the Sustainability Strategy Blueprint in 2024, aiming to enhance internal and external communication, focus on action directions, and ensuring the implementation of goals. The Sustainability Strategy Blueprint was built upon 3 key visions: corporate sustainability, environmental sustainability, and social sustainability. It further integrates core financial services with ESG principles, forming the “RISE” framework, which comprises 4 strategic pillars: “Resilience – Building Resilient Operations”, “Inclusion – Leading Sustainable Finance”, “Synergy – Creating Diversity and Inclusion”, and “Enrichment – Enhancing Environmental Co-Prosperity”.
Resilience
In 2024, amid the U.S. presidential election and ongoing geopolitical disruptions such as the Russia-Ukraine war and conflicts in the Middle East, uncertainty in financial markets increased. In response to the rapidly changing international landscape and risks, TCFHC established a robust governance framework and compliance mechanisms to strengthen operational efficiency and business resilience. Building upon existing customer engagement and the synergy created across subsidiaries, we have been consistently improved asset quality. The consolidated net profit after tax reached NT$19.809 billion, while the after-tax return on net worth and after-tax return on assets were 7.84% and 0.40%, respectively. Earnings per share after tax were NT$1.26.
To comprehensively strengthen the confidentiality, integrity, and availability of its information security management system, TCFHC implemented an Information Security Policy, appointed a chief information security officer at the executive vice president level, established a management system, and formed a dedicated task force. Alongside introducing the ISO 27001 for information security management systems, TCB also adopted ISO 22301 for business continuity management systems, which enhances organizational financial resilience from a customer rights perspective by establishing emergency response, business continuity, and recovery capabilities. Furthermore, TCB annually insures up to NT$150 million in Cyber Liability Insurance to mitigate mitigating risks and prevent losses in the event of system breaches.
Inclusion
In recent years, climate finance has become a focal point of global net-zero initiatives. As a result the 29th United Nations Climate Change Conference (COP29) in 2024 was therefore referred to as the “finance COP”. The designation once again emphasizes that investment and financing activities are key drivers in accelerating sustainability transition and climate action.
To jointly achieve Taiwan’s Pathway to Net-Zero Emissions in 2050, TCFHC strengthened engagement efforts and actively supported enterprises in reducing carbon emissions and initiating sustainability transition through investment and financing. TCB provided comprehensive and practical carbon reduction financing solutions, successfully assisting SME borrowers in lowering emissions. It became Taiwan’s first financial institution to complete carbon reduction engagement with 5,000 SMEs, embedding ESG principles into their growth strategies. Furthermore, to encourage customer engagement and showcase the substantial achievements in carbon reduction, TCFHC sponsored the 11th D&B Top1000 Elite SME Awards in 2024. This event recognized SME borrowers actively committed to sustainable development and encouraged more enterprises to join the sustainability transition.
On the investment front, in green energy businesses and the issuance of sustainable finance bonds TCB's combined investment in 2024. It also led state-owned banks in ESG bond issuance, reaching a cumulative issuance volume of NT$9 billion. TCB became the first state-owned bank to meet issuance targets for all 3 types of sustainable development use-of-proceeds bonds: green bonds, social responsibility bonds, and sustainable development bonds.
Recognizing that innovative and secure financial services are essential for advancing toward sustainability, TCFHC executed eight major digital projects, 28 business digital transformation initiatives, and one Empowering Digital Talents and CoLAB Incubator project through cross-departmental collaboration within the Digital Development Committee in 2024. The Innovation Lab (CoLAB) continued to focus on innovation governance, innovative framework methodology, and key skills development. Through close cross-departmental collaboration, it drove major digital transformation projects, validated the business feasibility for small-scale innovation solutions, and launched an AI strategy blueprint and training program, training a total of 1,105 participants. Additionally, to comprehensively protect its R&D achievements, TCFHC adopted the Taiwan Intellectual Property Management System (TIPS) in 2020 and has since passed A-level certification 3 consecutive times. Cumulatively, it has submitted over 950 patent applications, with more than 800 patents approved and applied in business operations.
Synergy
While promoting sustainable development and the net-zero transition, TCFHC recognized that all actions must uphold fairness and social inclusion, placing people at the core and adhering to the SDG principle of “leaving no one behind”. Through multi-stakeholder communication and collaboration, TCFHC worked to safeguard and enhance the well-being of all stakeholders.
To advance employees’ awareness of environmental sustainability and integrate the concept of environmental co-prosperity, TCFHC actively organized environmental education and protection initiatives. The Company encouraged employees to participate in ESG courses and obtain certifications to incorporate sustainable development into their daily lives and business activities. Additionally, It prioritized gender equality, by striving to create a diverse, equal, and inclusive workplace culture. TCFHC ensured fair rights for employees of all genders in recruitment, promotion, training, parental support, and compensation. In 2024, TCFHC was recognized in Equileap’s Gender Equality Report & Ranking, placing 12th among emerging market companies for gender equality and ranking first in Taiwan’s financial industry.
Following the pionering program of Seed Staff of Long-Term Care Services, TCFHC continued to cultivate trust professionals to address various challenges arising from an aging society. By the end of 2024, TCB had 848 “eldercare financial planning consultants” and 195 “family trust planning consultants” to provide clients with professional asset trust planning and LOHAS (Lifestyles of Health and Sustainability) consultation services. Furthermore, upholding people-centered values and aiming to improve social well-being, TCFHC launched a variety of inclusive financial products. These offerings included tailored loans for SMEs, startups, regional revitalization projects, agricultural/fishery industries, youth, and long-term care institutions. TCFHC’s efforts to promote the Business Start-up Loan for the Unemployed of the Employment Insurance Act, Loans for Startup Assistance for Unemployed Middle-Aged Persons and Elderly Persons, and Micro/Women Start-up Loans were commended by the Ministry of Labor, reaching a market share of 27.16% at the end of 2024.
Enrichment
TCFHC supports the Paris Agreement and Taiwan’s Pathway to Net-Zero Emissions in 2050. Alongside to signing the Science-Based Targets initiative (SBTi) and committing to achieving the approved SBT mid-term carbon reduction targets, TCFHC is preparing to submit its long-term SBT targets for review. To reduce carbon emissions in its operations, TCFHC conducts annual greenhouse gas (GHG) inventories covering all domestic and international locations. Through energy conservation, energy generation, and energy procurement, TCFHC continously to improves energy use efficiency and increase the renewable energy utilization rate. It also implements voluntary GHG reduction projects, introduces digital measures to achieve paperless processes, and promotes green operations. To amplify the influence of financial institutions and advance the vision of environmental co-prosperity, TCFHC hosted the 4 th State-Owned Financial Institutions Joint Supplier Conference in 2024 under the theme “Carbon Has a Price, Emission Reduction for Net Zero”.The event gathered over 200 suppliers and borrowers to support the 2050 net-zero transition, aiming to raise awareness of carbon reduction among both internal and external stakeholders.
To enhance the identification and management of climate-related risks and opportunities, TCFHC integrated natural environmental risk factors into its investment and financing decisions and published its first Climate and Nature-Related Financial Disclosure Report In 2024, the company,sustainability initiatives from the climate-focused Task Force on Climate-Related Financial Disclosures (TCFD) framework to include natural capital and biodiversity through the Taskforce on Nature-related Financial Disclosures (TNFD). That same year As a result, TCFHC once again received the premier Level-5+: Excellence certification from the British Standards Institution (BSI), demonstrating its commitment and proactive efforts in supporting Green Finance 3.0.
With a long-standing dedication to ESG, TCFHC has been highly recognized by both domestic and international institutions. In 2024, TCFHC was once again included in both the World Index and the Emerging Markets Index under the Dow Jones Sustainability Indices (DJSI), ranking third globally among banks and first among Taiwan’s state-owned banks. Additionally, in the 2024 Carbon Disclosure Project (CDP), TCFHC made significant progress, advancing 2 levels from the previous year and achieving recognition on the Leadership (A list) list, the highest honor. Domestically, TCFHC received the Taiwan Top 100 Sustainability Exemplary Award at the Taiwan Corporate Sustainability Awards, the National Enterprise Environmental Protection Award – Silver from the Ministry of Environment, and the Sustainable Development Leadership Award from the BSI.
The rapidly evolving business environment and global challenges such as climate change present risks vastly different from those of the past but also create new opportunities. Looking ahead, TCFHC will continue to adhere to SDGs, the Principles for Responsible Investment (PRI), the Principles for Responsible Banking (PRB), and the Principles for Sustainable Insurance (PSI). TCFHC remains committed to implementing its Sustainability Strategy Blueprint, advancing sustainable development strategies, enhancing corporate governance and resilience, and collaborating with stakeholders to jointly achieve the vision of corporate sustainability, environmental sustainability, and social sustainability.