United Overseas Bank (UOB) stock surged 3.01% in Tuesday's trading session, driven by two key factors that boosted investor confidence. The bank's strategic moves in sustainable financing and its ongoing share repurchase program have contributed to the positive market sentiment.

UOB has significantly enhanced its sustainable financing framework by incorporating the Singapore-Asia Taxonomy, making it the only Singapore bank to integrate the Monetary Authority of Singapore's (MAS) Technical Screening Criteria into all six of its sector-focused sustainable financing frameworks. This move is expected to facilitate easier access to sustainable financing for small- and medium-sized enterprises (SMEs), potentially opening up new business opportunities and strengthening UOB's position in the growing sustainable finance sector.

Additionally, UOB's recent share buyback activity has further bolstered investor confidence. The bank repurchased 400,000 shares on April 14, with prices ranging from SG$32.82 to SG$33.4, totaling approximately SG$13.3 million. This ongoing buyback program, which has seen UOB repurchase 5.2 million shares (0.31% of its issued shares) since April 18, 2024, demonstrates the bank's confidence in its own value and commitment to enhancing shareholder returns.