Climate Change Data

Environmental Metrics

ESG Focus Areas

• Education
• Health
• Environment
• Arts
• Sports
• Social Welfare

Environmental Achievements

• 92.64% reduction in waste to landfill
• 24.9% reduction in diesel consumption (year-to-date)
• 39.79% reduction in paper usage
• 63.4% reduction in CO2 emissions from electricity
• 28.8% reduction in CO2 emissions from diesel
• 16.7% reduction in CO2 emissions from petrol

Social Achievements

• Launched "Save Today, Take Tomorrow" campaign focused on driving financial inclusion
• Employees dedicated about 1,712,516 hours serving individuals and communities in need
• Over N500 million in philanthropic grants to nonprofit organizations
• More than N1 billion in loans and investments creating affordable housing and job opportunities
• Launched Salvus project – A sexual violence response intervention platform
• Reached 1,256 people with diabetes information, education, and communication materials

Governance Achievements

• Established anti-corruption training for all employees
• Implemented a comprehensive Digital Risk Management Policy
• Developed a robust Sustainability strategy, themed ‘Financing the Future.’

Climate Goals & Targets

Environmental Challenges

• Challenging Economic climate
• Threats to globalization
• Cyber security challenges
• Pressures on climate change leadership
• Uncertainties in the achievement of the SDGs
• Long wait time to speak to an agent
• Lack of adequate follow up
• Delayed resolution

Mitigation Strategies

• Improved existing products and services and created alternative products with zero risk but equivalent value
• Set up of the Ombudsman process to increase first-time resolution (FTR)
• Recruitment of staff to reduce resolution waiting time
• Engagement of customers to determine specific issues
• Escalation to relevant units/persons for resolution
• Investigation of complaints where required
• Follow-up and resolution of identified issues
• Communication with customers regarding resolution
• Compensation (where required)
• Redesign of process to prevent future failures/ development of sustainable resolution
• The funds involved in transaction failure were reversed.

Supply Chain Management

Responsible Procurement

• Adherence to UNGC principles

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Certifications: FSC

Third-party Assurance: CSR-in-Action Consulting

UN Sustainable Development Goals

• Goal 1
• Goal 2
• Goal 3
• Goal 4
• Goal 5
• Goal 6
• Goal 7
• Goal 8
• Goal 9
• Goal 10
• Goal 11
• Goal 12
• Goal 13
• Goal 14
• Goal 15
• Goal 16
• Goal 17

The report details initiatives aligned with each of the 17 SDGs.

Sustainable Products & Innovation

• Ondigo mobile banking app
• Early Savers Account
• Evergreen Account for seniors
• W initiative for women

Awards & Recognition

• Karlsruhe Sustainable Finance Awards
• World Finance award
• Central Bank of Nigeria Sustainability awards

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Social Impact
• Governance
• Financial Inclusion
• Women Empowerment
• Climate Change Mitigation

Environmental Achievements

• Achieved 10% reduction in operational GHG emissions.
• Generated 8,204,226.99 kilowatt-hour (kWh) of energy from renewable energy sources.
• Recycled 2,225,987 kg of waste cans, paper, plastics, and glass.
• Planted 2,200 trees for biodiversity conservation.

Social Achievements

• Invested over N8 billion in various corporate social investment programmes in over 1,288 African communities in 2022.
• Provided loans valued at N6.2 billion to over 120,000 individuals.
• Reached 8,573,605 individuals with information on financial services and inclusion.
• Disbursed approximately N180.7 billion to over 150,000 MSMEs.

Governance Achievements

• Maintained GRI GOLD Community membership.
• Continued membership in the Task Force on Climate-Related Financial Disclosures (TCFD) working group.
• Maintained membership of the UNGC and UNEP FI.
• First African commercial bank to be certified under the Sustainability Standards and Certification Initiative (SSCI).

Climate Goals & Targets

Environmental Challenges

• Climate change impacts threatening economic activities.
• High GHG emissions from fossil fuels.
• Lack of access to financial services for underserved populations.
• Gender inequality.

Mitigation Strategies

• Investing in renewable energy and energy-efficient technologies.
• Implementing sustainable waste management practices.
• Providing access to sustainable financing tools like green loans and green bonds.
• Conducting financial literacy programmes.
• Implementing initiatives to empower women.

Supply Chain Management

Responsible Procurement

• Sustainable procurement policy prioritizing local procurement
• Integration of environmental and social standards into vendor application documents and contracts
• Regular training on sustainable supply chain management and workshops on anti-money laundering for vendors
• Due diligence on service providers

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Flooding

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Green bonds

Reporting Standards

Frameworks Used: GRI Standards, ISSB, TCFD, UNGC, UNEP FI, NSBP, Equator Principles (EP), AA1000AS v3

Certifications: ISO 45001 (Occupational Health and Safety), SSCI

Third-party Assurance: CSR-in-Action Consulting (limited assurance)

UN Sustainable Development Goals

• SDG 3
• SDG 4
• SDG 5
• SDG 7
• SDG 8
• SDG 13
• SDG 14
• SDG 15
• SDG 17

Various initiatives contributing to these goals are detailed in the report.

Sustainable Products & Innovation

• Green bonds
• Switch-to-Solar Lease product
• W Power Loan

Awards & Recognition

• Earth Woman Recognition
• Most Innovative and Sustainable CSR Activities
• Best Sustainable Bank, Africa
• Sustainability Leader of the Year, Nigeria
• Special Humanitarian for Health Interventions
• Africa’s Best Banking Sustainable Development Company of the Year
• Environmental Sustainable Bank of the Year
• Commercial Bank of the Year for Sustainability
• Most Outstanding Brand in Women Empowerment
• Best Bank for Sustainable Finance in Nigeria
• Most Outstanding Female-friendly Bank of the Year
• Best CSR Bank, Nigeria
• Eco-friendly Bank of the Year
• Best ESG Strategy, Nigeria

Environmental Metrics

ESG Focus Areas

• Sustainability

Environmental Achievements

• Tracked monthly Greenhouse Gas emissions; implemented an Environmental & Social (E&S) grading system for clients; monitored clients with heightened E&S risk grades through spot visits and confirmation of safety, health, and environmental policies; set E&S portfolio categorization thresholds to manage maximum appetite levels.

Social Achievements

• Launched Employee Volunteering Programme; supported various community initiatives through employee volunteering (e.g., donating shoes to Ramotswa Centre for Deaf Education, providing hampers to Happy Home Shelter, planting fruit trees in schools, donating sanitary pads to disadvantaged women).

Governance Achievements

• Adherence to King IV Corporate Governance principles; established an independent compliance function; developed and implemented an Environmental & Social Risk Management (ESRM) Policy; aligned ESRM with international best practices and the Bank's Enterprise Risk Management Framework.

Climate Goals & Targets

Environmental Challenges

• Global economic uncertainty due to geopolitical tensions and supply chain disruptions; weak performance of diamond trading and mining activities in Botswana; inflationary pressures; potential shocks that could slow down global economic growth.

Mitigation Strategies

• Strong capital and liquidity position; robust risk management practices; continuous enhancement and alignment of risk management frameworks; proactive management and forecasting of liquidity positions; transformation of balance sheet structure; refinement of expected credit loss (ECL) modeling; optimization of processes and technology support to cushion inflationary and investment cost increases; focus on growing customer base through digitization and channel optimization.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Integrated Reporting Framework (2021), IFC Performance Standard, UN Global Compact, GRI, UNEP Finance Initiative, Equator Principles, UNEP-FI TCFD, PCAF

Sustainable Products & Innovation

• AccessAfrica (global payments platform), N’stakolle loan, Salary Advance loan