2020 Universal registration document and annual financial report - BNP PARIBAS552

7 a Committed Bank: information ConCerninG the eConomiC, soCial, CiviC and environmental resPonsiBility of BnP PariBas

7

Our economic responsibility: financing the economy in an ethical manner

■ the corporate and investment bank, BNP Paribas Corporate and Institutional Banking, has launched a range of responsible indices. Private investors and institutions can, therefore, identify companies that make a significant contribution to achieving the SDGs with regard to the products that they offer or their exemplary conduct. Since 2013, BNP Paribas has launched 29 ethical indices, five of which are closely linked to the SDGs, which have made it possible to raise over EUR 7.9 billion;

■ in 2020, BNP Paribas Cardif made a positive impact of EUR 9.1 billion in investments in the frame of the France general fund. This includes green or social bonds held directly funds in equity, bonds, infrastructure, private equity and real estate investments with a social or environmental theme. The increase was 40% over the past year. A target of EUR 11.5 billion in positive impact investments by the end of 2024 was set in 2020 (+EUR 5 billion compared to 2019).

FINANCING SOCIAL ENTREPRENEURSHIP Thanks to their hybrid business models, social enterprises (SE) aim to generate a strong positive social or environmental impact, while seeking economic sustainability.

Continued growth in impact financing and investing, as well as in the number of social enterprises supported by the Group

➤ FINANCING TO SOCIAL ENTERPRISES: EUR 1.6 BILLION

France

75%

Italy

8%

9% Belgium

3% United States

5% Luxembourg

➤ INVESTMENTS AND OTHER SUPPORT FOR SOCIAL ENTERPRISES (IN ADDITION TO FINANCING): EUR 200 MILLION

Social Impact Bonds 3%

29%

Equity Investments

18%

47% Employee savings

Clients savings

3% Purchases

The Group s commitment to supporting Social Entrepreneurship exceeds EUR 2 billion

In 2020, total support for social enterprises and Microfinance institutions ( MFIs ) (financing, investments on its own behalf or on behalf of third parties) amounted to EUR 2.2 billion worldwide, compared to EUR 1.9 billion at the end of 2019, a 17% growth compared to 2019. The Bank provides support in the form of banking and financing services to 2,600 social enterprises clients (including MFIs and some companies Tech for Good).

Act for Impact , the holistic and scalable approach to support social enterprises, already deployed in France and Luxembourg, is an ecosystem of experts that offers unique banking support, tailored extra-banking services and key, dedicated partnerships, social enterprises, whether they are start-ups (Tech for Good), associations or cooperatives:

The Act for Impact offer continued to grow and diversify in 2020:

■ strong growth in the network of relationship managers (140 in France, 16 in Belgium, 43 in Italy, 16 in Luxembourg) trained in the specifics of social entrepreneurship with a very strong regional network;

■ the creation of a pro bono platform, to connect our clients and partners with expert employees;

■ specialised centres of expertise, such as the circular economy centre created in France in 2020;

■ EUR 9 million of new investments in funds dedicated to impact entrepreneurs: the Impact Croissance fund for the change of scale of the SE, the Ring for Good fund for social start-ups;

■ large scale partnerships with the SE ecosystem, and in particular in 2020 with the Mouvement Impact France, and with the 1KUBATOR in Lyon, Nantes, Rennes, Bordeaux, Lille and Strasbourg.

Social Entrepreneurship (SE) in the context of Covid-19

The year 2020 was marked by intense work to support social enterprises that suffered from the health crisis.

This support consisted of:

■ a donation budget of EUR 1.5 million allocated to social and solidarity economy (SSE) players, including the contribution to the funds of Adie and France Active, proposing collateral-free loans to small entrepreneurs in distress, or the contribution to the fund to support small structures of the SSE, launched by the High Commissioner for SSE;

■ the granting of State-guaranteed loans in favour of 250 social enterprises clients for an amount of EUR 103 million;

■ an exceptional scheme set up with Ulule and BRUT Covid-19 solidarity accelerator which, with a matching contribution from BNP Paribas, has supported several crowdfunding campaigns launched by social enterprises that provide emergency solutions to people affected by the crisis;

■ Bank of the West developed #SpreadGood to support women entrepreneurs whose projects have a positive impact on society or the environment, through coaching sessions and customised content;

■ The organisation of two Social Enterprise Hackathons: 60 Group Talent employees were made available to 10 SE partners and clients in Europe and Africa, to help them transform their business model while maintaining their profitability in the context of the Covid-19 crisis.