Climate Change Data

Environmental Metrics

ESG Focus Areas

• Financial Inclusion
• Shared Value Creation
• Environmental Sustainability
• Employee Engagement
• Community Investment
• Economic Empowerment

Environmental Achievements

• Initiated actions for carbon neutrality at headquarters and selected branches.
• Reduced annual KW consumption by 12 percent and decreased carbon dioxide emissions by 35.5 tons through energy efficiency project.

Social Achievements

• Increased microfinance coverage, serving 73,000 customers with over EGP 700 million in loans.
• Ebda3 Men Masr initiative impacted more than 4,000 artists across 15 governorates.
• Launched "Ask the Expert," a financial education web-series with over 15 million views.
• MoU with National Council for Women (NCW) targeting 18,000 women as direct beneficiaries.
• Various community investment projects in education and health.

Governance Achievements

• Approved a new version of the Code of Ethics mainstreaming sustainability.
• Introduced a "Relations Charter" between ALEXBANK and its stakeholders.
• Implemented a KPI-based appraisal system.

Climate Goals & Targets

Environmental Challenges

• Lack of adequate and simple communication channels between banks and citizens.
• Challenges in fostering financial literacy and inclusion.

Mitigation Strategies

• Launched "Ask the Expert" and "Ask ALEXBANK" initiatives to improve financial literacy.
• Partnered with NCW to foster women's financial inclusion.
• Implemented digital outreach through social media and mobile applications.

Supply Chain Management

Responsible Procurement

• Preference for suppliers with minimal environmental footprint.
• Procurement Centralization Project.
• Cost management sheet.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI G4 Guidelines

UN Sustainable Development Goals

• SDG 1
• SDG 2
• SDG 3
• SDG 4
• SDG 5
• SDG 7
• SDG 8
• SDG 9
• SDG 11
• SDG 12
• SDG 13
• SDG 14
• SDG 15
• SDG 16
• SDG 17

The report details how various initiatives contribute to these goals.

Awards & Recognition

• Middle East’s Best Bank for SMEs (Euromoney)

Environmental Metrics

ESG Focus Areas

• Environmental Awareness
• Financial Inclusion & Sustainable Finance
• Partnerships & Regional Events
• Sustainable & Ethical Practice
• Transparent Reporting

Environmental Achievements

• Organized a screening of the documentary “A Plastic Ocean” to raise awareness on plastic waste.
• Published an article on Earth Day and climate change impact on Egyptians to 2000 employees.
• Distributed 60 infographic posters on air pollution in four main buildings.
• Organized a “Beat Air Pollution” themed Forsa Bazaar showcasing sustainable products.
• Organized a walking tour of Downtown Cairo to reduce car dependence.

Social Achievements

• Launched “Hady Bady”, a financial literacy game reaching 7143 students.
• Conducted a microfinance roadshow reaching 415 women and 800 men.
• Opened micro savings accounts for 46 underprivileged women in Manial Shiha.
• Hosted the 6th Annual Conference “Clusters and Economic Development in the South”.
• Participated in Diarna exhibition, generating over EGP 6,000,000 in revenue for artisans.
• Contributed to Magdy Yacoub’s New Aswan Heart Center.
• Hosted the 1st Regional CSR Conference, with 400 participants.
• Organized multiple Forsa Bazaars supporting local artisans and generating sales, donating proceeds to various causes.
• Hosted the 3rd “Dream Land” themed Heroes Iftar for 550 children.
• Implemented “Ramadan Lights” initiatives, granting 17 children’s wishes.
• Supported Children’s Cancer Hospital 57357.

Governance Achievements

• Publicly endorsed the United Nations Environment Programme – Finance Initiative Six Principles for Responsible Banking.

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Governance
• People
• Prosperity
• Planet

Environmental Achievements

• 7% reduction in energy consumption compared to 2019
• 32% reduced lighting consumption compared to 2019
• 13% reduction in water consumption compared to 2019
• 102.16 tons of shredded paper recycled
• 81 personal computers and monitors reused
• 80% recycled and recyclable products at events

Social Achievements

• Launched Ghalya (women empowerment platform)
• Supported 64,250 CSR direct beneficiaries
• EGP 32 million CSR budget
• 106,109 hours of employee training
• Implemented Smart Working program for 1,163 employees
• Provided 200 summer internships
• Provided tailored microfinance solutions to customers during COVID-19

Governance Achievements

• Established a Crisis Governance Committee
• Implemented CBE consumer protection rules
• Improved customer complaint handling (18% decrease compared to 2019)
• Enhanced risk management framework
• Upgraded core banking system

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic and its impact on business operations and customers
• Supply chain disruptions
• Maintaining operational efficiency amidst the pandemic

Mitigation Strategies

• Implemented a Business Continuity Plan
• Introduced smart working solutions
• Provided tailored microfinance solutions and credit moratoriums
• Increased cleaning and sanitation procedures
• Implemented safety procedures to decrease infections
• Accelerated digital transformation

Supply Chain Management

Responsible Procurement

• Due diligence on suppliers
• Inclusion of human rights clauses in contracts
• Preference for local suppliers

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core Option, UNGC, UN Sustainable Development Goals

Third-party Assurance: Masader, Corporate Sustainability Consulting Firm (S.A.E.) - Limited assurance

UN Sustainable Development Goals

• Goal 2
• Goal 3
• Goal 4
• Goal 5
• Goal 8
• Goal 9
• Goal 10
• Goal 12
• Goal 13
• Goal 16
• Goal 17

Various initiatives contribute to these goals through financial inclusion, community development, environmental stewardship, and good governance.

Environmental Metrics

ESG Focus Areas

• Financial Inclusion and Literacy
• Responsible and Purposeful Lending & Investment
• Green Transition Finance
• Sustainable Agribusiness Development
• Environmental Stewardship
• Good Governance and ESG Risk Management
• Integrity in Corporate Conduct
• Data Management & Cybersecurity
• Digitalization & Accessibility
• Retention, Enhancement, Diversity & Inclusion of Our People
• Community Development & Empowerment
• Quality of Service & Customer Experience
• Health, Safety, and Wellbeing

Environmental Achievements

• 26% reduction in Scope 1+2 emissions compared to 2022
• 17% reduction in Scope 1+2+3 emissions compared to 2022
• 17% reduction in Scope 1+2 emissions intensity per area compared to 2022
• 21% reduction in Scope 1+2 emissions intensity per employee compared to 2022
• 94.7 tons of wastepaper recycled
• 1,471 kg of material weight of ATM enclosures recycled

Social Achievements

• Launched Ebda3 men Masr microloan for artisans, disbursing +2K loans in 2023
• Collaboration with Orange Corners, graduating 96 startups (57% female-led)
• 312% increase in Ebda’ Savings Accounts opened compared to 2022
• 16% YoY increase in microfinance lending
• 11% Agribusiness Loans of MSMEs Portfolio
• 162,540 direct beneficiaries of CSR projects and events
• 31% of ALEXBANK’s workforce are women (21% in managerial roles)
• 42% of yearly new hires are women
• Zero health and safety accidents in 2023
• 90% of total employees received training

Governance Achievements

• Adoption of the Sustainable Finance Policy
• Formalization of localized ESG policy for the governance of ESG Risks
• Incorporation of quantitative ESG KPIs within the bank’s management performance scorecards
• Appointment of ‘ESG Champions’
• Implementation of NetReveal for transaction monitoring
• Updated compliance policy to reflect changes in macro-processes, activities, and information flows
• 92% of total employees completed ESG Awareness Training

Climate Goals & Targets

Environmental Challenges

• High inflation and currency devaluation
• Market volatility and rising interest rates
• Balancing sustainable finance programs with market readiness
• Limited data infrastructure in rural areas for digital banking
• Limited female inclusion across the board
• Funding and project viability affected by Egypt’s economic fluctuations
• Dynamic regulatory landscape and emerging requirements
• Data collection process and aligning disclosure requirements
• Cyber warfare and the need for robust cybersecurity measures
• Need for financial inclusion and literacy in Egypt

Mitigation Strategies

• Integrating social lending goals into portfolio
• Tailoring lending products to customer needs
• Releasing a sustainable finance policy
• Setting clear goals for sustainable finance
• Working on setting portfolio targets according to UNEP FI principles
• Optimizing network operations, adopting a hybrid work model
• Recycling paper waste and obsolete ATM machines
• Establishing a dedicated Sustainable & Sustainability Finance Office
• Launching an internal ESG forum
• Implementing a hybrid work model
• Prioritizing cybersecurity
• Making changes in the leadership team to advance financial inclusion
• Raising customer awareness and education through edutainment videos and financial education campaigns
• Establishing a dedicated Sustainable & Sustainability Finance Office
• Implementing retention programs, promoting diversity and inclusion

Supply Chain Management

Supplier Audits: ESG Score Card for all vendors

Responsible Procurement

• Green Procurement Policy
• ESG Score Card for vendors
• Compliance with Egyptian labor laws

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards, SASB Standards on Commercial Banks, TCFD Principles, UNGC Principles, SFDR Principles

Certifications: Egyptian Gender Equity Seal (EGES)

Third-party Assurance: Masader Environmental and Energy Services S.A.E

Environmental Metrics

ESG Focus Areas

• Creative Economy Support
• Financial Inclusion
• Women Empowerment
• Environmental Sustainability
• Community Development

Environmental Achievements

• Launched "Khatwa Kharda" (Green Step), an environmental children's game to raise awareness.
• Partnered with APE for environmental education in Manshiyet Nasser.
• Organized factory visits for children to promote upcycling.

Social Achievements

• Strategic partnership with Diarna Exhibition, resulting in over 12 million EGP in revenue for artisans.
• Launched "Healthcare Hospitality Training Program" with Rhythm for Hospitality Training Agency.
• Distributed Ramadan bags ("Nekoush") to employees, supporting Egyptian artisans.
• Implemented "One Dream" project to improve living conditions in Mansheyet Nasser and Tora.
• Launched "Inclusive Communities" project to empower children with disabilities.
• Implemented "Children Wishes Coming True" Ramadan initiative.
• Supported women refugees and artisans through "Ghalya" initiative and "Sokoon" gift.
• Participated in Mother’s Day Bazaar at ZED Park.
• Onboarded National Council for Women’s Taa’ Marbouta into Ebda3 men Masr’s online store.
• Collaborated with Helwan for Community Development NGO on "My Craft, My Chance" project.

Governance Achievements

• Published ALEXBANK’s self-assessment report for Principles of Responsible Banking.
• Released ALEXBANK’s Creative Industries Guide to Financing.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impacting operations and community engagement.
• Economic challenges faced by artisans and marginalized communities.

Mitigation Strategies

• Virtual roll-out of initiatives and programs.
• Development of tailor-made financial products for smallholder farmers.
• Increased focus on digitalization to expand market reach for artisans.
• Partnerships with NGOs and other organizations to extend reach and impact.

Supply Chain Management

Responsible Procurement

• Partnership with Egyptian artisans for product sourcing.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Principles for Responsible Banking

UN Sustainable Development Goals

• SDG 1: No Poverty
• SDG 5: Gender Equality
• SDG 8: Decent Work and Economic Growth
• SDG 9: Industry, Innovation and Infrastructure
• SDG 10: Reduced Inequalities
• SDG 11: Sustainable Cities and Communities
• SDG 13: Climate Action

Various initiatives contribute to these goals through economic empowerment, community development, and environmental awareness.