Chugin Financial Group Signs Comprehensive Partnership Agreement with National Institute for Environmental Studies (NIES)

Chugin Financial Group (Okayama City; President: Toshinori Kato) has signed a comprehensive partnership agreement with the National Institute for Environmental Studies (NIES) (Tsukuba City, Ibaraki Prefecture; President: Yoshito Oshima) to contribute to sustainable regional development (building a regional circular and ecological sphere) through research on the sustainable use of environmental (natural) capital.

Under this agreement, the Group and NIES will collaborate on research in fields such as climate change and nature conservation, as well as educational activities including seminars.

This is the first comprehensive partnership between NIES and a financial institution.

1. Background and Overview As climate change and biodiversity loss become globally severe, regions are also facing complex environmental, economic, and social challenges. Meanwhile, regions possess abundant resources such as renewable energy and natural capital, and utilizing these is key to regional and business development.

Our Group places the response to environmental issues at the core of our management. We aim to balance the environment and the economy by promoting behavioral changes in local companies through initiatives to maintain and restore climate and biodiversity, as well as through our products and services.

NIES, as a core research institute in the environmental field, has accumulated specialized knowledge and addresses a wide range of environmental issues. It aims to strengthen regional and social collaboration and contribute to the social implementation of research results. In particular, regarding climate change adaptation, it has been exploring collaboration with regional financial institutions to support the efforts of local SMEs.

Based on this, our Group and NIES have signed a comprehensive partnership agreement to leverage each other's strengths. We aim to contribute to sustainable regional development (building a regional circular and ecological sphere) by promoting research on the sustainable use of environmental capital (natural capital), which forms the foundation of environment, economy, and society, and by implementing those results in society.

2. Content of the Comprehensive Partnership Agreement (1) Objective To contribute to sustainable regional development (building a regional circular and ecological sphere) by promoting activities through close mutual collaboration and cooperation. (2) Areas of Collaboration 1. Research on climate change adaptation and mitigation measures, and their social implementation. 2. Research on nature conservation and biodiversity, and their social implementation. 3. Awareness-raising in the region regarding the use of environmental capital and environmental problem-solving. (3) Term May 26, 2026, to May 25, 2029 (3 years).

3. Future Initiatives We will work to further promote and develop this collaboration through long-term, continuous activities, such as matching regional needs with cutting-edge research results. - TCFD compliance, promoting climate adaptation measures to regional companies (e.g., holding seminars). - Research on the climate adaptation effects of wooden buildings. - Research and practical considerations of mitigation technologies in industrial zones. - TNFD compliance, considering the practice of Nature Positive and Nature-based Solutions (NbS).