Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• Society
• Economy
• Governance

Environmental Achievements

• CO2 emissions reduced by nine percent compared to the previous year
• RBI’s share of green electricity is about 34 percent
• Paper consumption reduced by 30 percent compared to the previous year

Social Achievements

• Supporting our communities with 1,594 projects
• Group-wide share of women in management 54 percent
• 30,329 employees trained in preventing corruption

Governance Achievements

• Publication of the revised, group-wide Code of Conduct
• oekom prime rating: “C+”
• CDP rated RBI the best company in the financial sector in Austria for the third time

Climate Goals & Targets

Environmental Challenges

• Economic, geopolitical and environmental risks
• Challenges and risks in the financial sector
• Continued low interest rates and high regulatory standards

Mitigation Strategies

• Strong culture of risk management and sustainability
• Transformation program to improve risk profile and capital position
• Exiting selected markets and sectors

Supply Chain Management

Supplier Audits: 88% of suppliers responded to a survey on environmental and social aspects

Responsible Procurement

• Code of Conduct for all suppliers; consideration of regionality; sustainability criteria

Climate-Related Risks & Opportunities

Physical Risks

• Consequences of global warming for tourism, agriculture, forestry, and health; damages from natural disasters

Transition Risks

• Stricter environmental regulations; devaluation of assets due to market shifts away from fossil fuels

Opportunities

• New business fields in renewable energy, electric mobility, energy efficiency, and resource management

Reporting Standards

Frameworks Used: GRI Standards

Certifications: Null

Third-party Assurance: KPMG

UN Sustainable Development Goals

• SDG 1, 4, 5, 7, 8, 9, 13, 16

RBI's initiatives contribute to these goals through sustainable financing, community investment, diversity management, and environmental protection.

Sustainable Products & Innovation

• Sustainability funds; green bonds; energy-efficient financing

Awards & Recognition

• Austrian Sustainability Reporting Award (ASRA); CDP Leadership List; Green Frog Award; various Bank of the Year awards

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced CO2 emissions by six percent compared to the previous year
• Reduced water consumption by 45,558,179 liters
• Reduced paper consumption by 55,489,415 sheets
• Reduced energy consumption by 14,990,548 kWh
• Reduced driven kilometers by 6,468,361 pkm

Social Achievements

• Group-wide share of women in management: 55 percent
• 2,479,430 training hours for employees
• 27,762 employees trained in preventing corruption
• Group-wide investments in the community: around € 2.3 million
• Supported 1,080 community projects

Governance Achievements

• Successful completion of the second benchmark issue of a green bond by an Austrian bank with a volume of € 750 million
• RBI is the largest Green Bond issuer in Austria
• RBI Sustainability Report 2018 recognized as best report by a “Large Company” (Austrian Sustainability Reporting Award)

Climate Goals & Targets

Environmental Challenges

• Global warming and its consequences for tourism, agriculture, forestry, and health
• Stricter environmental protection laws and regulations
• Market anticipation of future developments (carbon bubble)
• Poor working conditions, endangerment of health, and failure to uphold human rights in financed projects

Mitigation Strategies

• Avoids financing new thermal coal mining projects and new business relationships with customers in the thermal coal mining sector
• Intensive due diligence processes
• Implementation of strict lending criteria and policies
• Intensified efforts in sustainable finance at both customer and product level

Supply Chain Management

Supplier Audits: Annual survey of top suppliers on environmental and social criteria

Responsible Procurement

• Compliance with Code of Conduct
• Consideration of regionality and sustainability criteria

Climate-Related Risks & Opportunities

Physical Risks

• Consequences of global warming for tourism, agriculture, forestry, and health
• Damages resulting from natural disasters

Transition Risks

• Stricter environmental protection laws and regulations
• Market shifts away from fossil fuels

Opportunities

• New business fields in renewable energy, electric mobility, energy efficiency, and resource management

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001

Third-party Assurance: KPMG

UN Sustainable Development Goals

• SDG 1
• SDG 4
• SDG 5
• SDG 7
• SDG 8
• SDG 9
• SDG 13
• SDG 16

RBI's initiatives contribute to these goals through sustainable financing, diversity management, employee training, and community investment

Sustainable Products & Innovation

• Green bonds
• Sustainable investment products
• ESG-linked financing facilities

Awards & Recognition

• Austrian Sustainability Reporting Award
• CDP Leadership List
• Numerous awards from EMEA Finance, Euromoney, Global Finance, and The Banker

Environmental Metrics

ESG Focus Areas

• Responsible banking
• Fair partner (employees and in-house ecology)
• Engaged citizen
• Climate change
• Diversity & Inclusion
• Governance

Environmental Achievements

• 13 per cent reduction in Group-wide CO2 emissions in inhouse ecology compared with 2019
• RBI is the largest issuer of green bonds among Austrian banks (€1.3 billion)
• Publication of CO2 emissions of corporate loans and sustainable funds for the first time
• Further development of the existing Group policy on thermal coal
• 100% green electricity purchase in Austria

Social Achievements

• Group-wide investments in society totaling €4.6 million, including €1.6 million in COVID-19 donations
• Measures to improve diversity, including signing up to “The Valuable 500”
• Successfully pressed ahead with RBI’s “Diversity 2020” initiative in Austria

Governance Achievements

• First Austrian bank to sign up to the UNEP Finance Initiative’s “Principles for Responsible Banking”,
• Publication of a Group anti-money laundering declaration
• Achievement of positive sustainability rating results with ISS ESG, Sustainalytics, MSCI ESG and CDP

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic and its impact on the economy
• Climate risks (physical and transition risks)
• Sustainability challenges in CEE markets
• Data limitations for comprehensive ESG reporting

Mitigation Strategies

• Implemented safety measures and remote working
• Revised Group policy on thermal coal to significantly reduce carbon finance portfolio by 2030
• Integrated ESG evaluation into lending processes
• Developed a comprehensive AML framework
• Increased investments in ESG expertise and training

Supply Chain Management

Responsible Procurement

• Published environmental and sustainability requirements for suppliers
• Regional procurement share of around 83%

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters causing property damage

Transition Risks

• Regulatory changes, market shifts (carbon bubble)
• Stricter environmental regulations

Opportunities

• Financing renewable energies and energy efficiency
• New business opportunities from the EU Green Deal

Reporting Standards

Frameworks Used: GRI Standards: Core option, TCFD

Certifications: ISO 14001 (Austria)

Third-party Assurance: KPMG

UN Sustainable Development Goals

• SDG 1, 3, 4, 5, 7, 8, 9, 10, 13, 15, 16

RBI's initiatives contribute to these SDGs through its business activities, products, services, and social investments.

Sustainable Products & Innovation

• Green bonds, ESG-linked financing, KPI-linked financing, sustainable investment funds

Awards & Recognition

• Bank of the Year in CEE (The Banker)
• Best Bank in Central and Eastern Europe (Global Finance)
• EMEA Finance Europe Banking Awards
• Euromoney awards
• LEADING EMPLOYER Award
• Fondsfrauen Award for “Company of the Year”

Environmental Metrics

ESG Focus Areas

• Responsible Banking
• Value Creation
• Social Product Responsibility
• Ecological Product Responsibility
• Fair Business Practices
• Stakeholder Engagement
• Corporate Environmental Protection
• Sustainable Entrepreneurship
• Active Civil Society

Environmental Achievements

• Set a target of reducing CO2 emissions by 65 percent by 2050 through energy efficiency, green electricity, and reduced business travel.
• Environmental management system in Austria based on ISO 14001 standards.

Social Achievements

• Signed the Diversity Charter and committed to promoting diversity and inclusion.
• Offers various programs to support work-life balance, including part-time work, teleworking, and flexible employment models.
• Provides equal pay for equal work.
• Offers a range of qualification and development opportunities for employees.
• Supports employee health through health checks, dietary advice, and sports.
• Engages in active dialogue with stakeholders through surveys and stakeholder councils.
• Supports selected programmes, foundations, and projects, as well as employee volunteering.

Governance Achievements

• Manages business in line with the provisions of the Austrian Corporate Governance Code.
• Established mechanisms to ensure compliance with laws and internal/external rules of conduct, including a Code of Conduct.
• Central Compliance office performs an important interface and control function to prevent corruption, money laundering, fraud, and insider trading.
• Transparent reporting in accordance with recognized international standards (e.g., Global Reporting Initiative).

Climate Goals & Targets

Environmental Challenges

• Balancing data protection and transparency.
• Managing the environmental impact of business activities and products.
• Addressing social and environmental risks and opportunities.
• Maintaining a sustainable framework in a rapidly changing regulatory environment.

Mitigation Strategies

• Implementing a Code of Conduct and detailed regulations.
• Continuous improvement of environmental key performance indicators.
• Regular review and improvement of governance practices.
• Active dialogue and engagement with stakeholders.
• Development of products and services that contribute to climate and environmental protection.

Supply Chain Management

Responsible Procurement

• Compliance with Code of Conduct (CoC) principles
• Consideration of sustainability criteria (e.g., regionality)

Climate-Related Risks & Opportunities

Opportunities

• Developing products and services that contribute to climate and environmental protection

Reporting Standards

Frameworks Used: Global Reporting Initiative (GRI)

Certifications: ISO 14001 (in Austria)

UN Sustainable Development Goals

• SDG 1
• SDG 3
• SDG 4
• SDG 5
• SDG 7
• SDG 8
• SDG 9
• SDG 10
• SDG 13
• SDG 15
• SDG 16

RBI is committed to upholding the 17 Sustainable Development Goals (SDGs) adopted by the United Nations and has defined eleven of these SDGs as particularly relevant to the company.

Environmental Metrics

ESG Focus Areas

• Climate Change
• Circularity
• Human Rights
• Sustainable Finance
• Sustainable Investment
• Employee Concerns
• Inhouse Ecology
• Commitment to Society and Environment
• Economic Value Creation
• Societal Aspects in Core Business
• Compliance

Environmental Achievements

• Reduced Group-wide CO2 emissions in inhouse ecology by eight per cent (Scope 1-3) compared to 2021
• RBI’s emission reduction targets approved by Science Based Targets initiative (first Austrian banking group to do so); targets are aligned with the “well-below-2-degrees“ pathway of the Paris Agreement (Scope 1-3)
• Expansion of sustainable financing by 34 per cent
• Leading position as arranger for sustainable bonds in RBI’s home market (no. 1 in number of transactions, no. 2 in proportionate transaction volume)

Social Achievements

• Group-wide community investment of around € 12.7 million and support for the initiatives of around 610 partner organizations
• Increase the share of female top managers by five percentage points at RBI AG and one percentage point at RBI
• Recognition of RBI as a “good practice“ example in Europe for the implementation of the Principles for Responsible Banking by the UNEP Finance Initiative

Governance Achievements

• Revision of material topics based on “impact materiality“ according to new GRI standards 2021
• Disclosure of financed emissions from corporate loans according to PCAF methodology (Partnership for Carbon Accounting Financials)
• Adoption of ESG Group policies regarding ESG & Sustainability, Human rights, as well as regarding the ESG Business Rulebook with greenwashing prevention process
• RBI has been an official signatory of the TCFD standards (Task Force on Climate-related Financial Disclosures) since 2022

Climate Goals & Targets

Environmental Challenges

• Data availability and quality for ESG metrics, particularly financed emissions
• Geopolitical risks and macroeconomic volatility (e.g., war in Ukraine)
• Implementing new ESG regulations and standards (e.g., EU Taxonomy, CSRD)

Mitigation Strategies

• Developed an ESG customer questionnaire for data collection
• Implemented a holistic ESG risk management framework
• Developed sector-specific policies for high-emission industries (oil & gas, steel, etc.)
• Established a Group ESG & Sustainability Management division
• Engaged in stakeholder dialogue and collaboration

Supply Chain Management

Responsible Procurement

• RBI Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather, flooding

Transition Risks

• Regulatory changes, market shifts, technological obsolescence

Opportunities

• Financing renewable energy projects, supporting customers' transition to low-carbon economy

Reporting Standards

Frameworks Used: GRI Standards, TCFD, PCAF, EU Taxonomy Regulation

Certifications: ISO 27001

Third-party Assurance: KPMG

UN Sustainable Development Goals

• SDG 8 (Decent Work and Economic Growth)
• SDG 9 (Industry, Innovation, and Infrastructure)
• SDG 13 (Climate Action)

RBI's initiatives contribute to these goals through sustainable finance, investment, and operational improvements.

Sustainable Products & Innovation

• Green bonds, green mortgages, ESG-linked loans, sustainable investment funds

Awards & Recognition

• ISS ESG Prime Status C+, MSCI ESG Rating AA, FTSE4Good Index, VÖNIX Sustainability Index, CDP A-, CIRA Award, Global Finance Sustainable Finance Awards, EMEA Finance Europe Banking Awards, Euromoney Awards

Environmental Metrics

ESG Focus Areas

• Climate Change
• Circularity
• Biodiversity
• Human Rights
• Financial Inclusion
• Employee Concerns
• Sustainable Finance
• Sustainable Investment
• Compliance
• Responsible Supplier Management

Environmental Achievements

• 14 per cent reduction in Scope 1&2 CO2 emissions since 2020 (mainly energy consumption)
• Largest green bond issuer in Austria and second-largest issuer of sustainable bonds in CEE among financial institutes
• Group-wide introduction of a qualification process for circularity with the aim of identifying at least €200 million in circularity-eligible assets

Social Achievements

• 2024 target of 35 per cent for the proportion of women in management positions achieved in 2023
• Establishment of the Brighter Future Initiative to bundle sustainable initiatives for greater social impact
• Expansion of green mortgage loans and unsecured loans with a social and/or green purpose in CEE retail business

Governance Achievements

• Adaptation of the Code of Conduct with a greater focus on sustainability
• Stable ESG rating results (e.g., ISS ESG, Sustainalytics), a top ESG rating from PwC Austria and some ESG awards within the Group.
• Group-wide implementation of greenwashing prevention check

Climate Goals & Targets

Environmental Challenges

• Increase in business trips compared to the base year 2020 (COVID-related)
• Lack of ESG relevant data points for ESG risk assessment and management
• Varied level of information available across different sectors and regions
• New disclosure standards leave room for interpretation, making market comparisons difficult
• Estimates dominate the current target picture in the market, posing a challenge in terms of accuracy

Mitigation Strategies

• Continued development of the Group’s sector-specific strategies in the most carbon-intensive industries – monitoring the internally defined portfolio targets for 2025 and 2030 and continued development of the transition path
• Material involvement in the development of OeKB’s customer questionnaire (Austria)
• Continuous improvement of risk framework
• Enhanced knowledge of ESG issues for Supervisory Board and Management Board
• Bonus-related qualitative and quantitative sustainability targets set for all Management Board members

Supply Chain Management

Supplier Audits: Annual survey of top suppliers (65% response rate in 2023)

Responsible Procurement

• RBI Supplier Code of Conduct
• Sustainability criteria for supplier selection
• Annual survey of top suppliers on environmental and social aspects

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Flooding

Transition Risks

• Regulatory changes
• Market shifts
• Technological risks
• Carbon bubble

Opportunities

• Supporting customers’ transition to low-carbon economy
• Increasing financing directed at green industries
• Supporting industries contributing to circular economy
• Investing in new, profitable technologies

Reporting Standards

Frameworks Used: GRI Standards, TCFD

Third-party Assurance: Deloitte Audit Wirtschaftsprüfungs GmbH

UN Sustainable Development Goals

• SDG 7
• SDG 8
• SDG 9
• SDG 11
• SDG 12
• SDG 13
• SDG 14
• SDG 15

RBI's initiatives contribute to these goals through sustainable finance, responsible banking practices, employee well-being, community investment, and environmental protection.

Sustainable Products & Innovation

• Green bonds
• Sustainable bonds
• Green mortgage loans
• Unsecured green and social loans
• ESG-linked financing
• Sustainable funds
• Sustainable certificates

Awards & Recognition

• Prime Status C+ sustainability rating from ISS ESG
• A rating from MSCI ESG Ratings
• Low risk rating from Sustainalytics
• Top performer in PwC ESG ranking for financial services
• Bank of the Year in CEE (The Banker)
• Best Bank in respective countries (EMEA Finance)
• Best Bank for Cash Management in CEE (Global Finance)
• Awards for Outstanding Leadership in Social Bonds and Sustainable Bonds (Sustainable Finance Awards 2023)
• Awards for Best Bank for CSR and Best Bank for ESG (Euromoney Awards for Excellence 2023)
• Sustainability Bond of the Year (Environmental Finance)
• The Acceleration Champion in ESG (Future Banking Gala)
• Responsible Bank of the Year (Mastercard Bank of the Year)
• #1 Sustainable bank (VISA)
• Awards from Premio Alto Rendimento

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• The ongoing war in Ukraine and its impact on the economies of Russia, Ukraine, and Belarus.
• Sanctions imposed on Russia and their impact on RBI's Russian subsidiary.
• Political risks associated with the potential sale or spin-off of the Russian subsidiary.

Mitigation Strategies

• Scaling back business operations in Russia, reducing loan business by nearly 60% since the war began.
• Reducing clearing, settlement, and payment services business in Russia.
• Ending correspondent bank relationships with Russian banks (except Raiffeisenbank Russia).
• Working on selling or spinning off the Russian subsidiary bank.
• Accelerating business reduction in Russia in conformity with ECB requirements.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IFRS

Third-party Assurance: Deloitte Audit Wirtschaftsprüfungs GmbH