Our approach and strategy

We believe in shared success, embracing sustainability to empower our customers, employees and communities. To do business the right way, we adhere to the highest standards of corporate governance and risk management. This helps us minimise the negative impacts we may have, directly or indirectly, on the economy, community and the environment. We recognise that managing ESG risks is crucial for maintaining our financial strength, and we have integrated ESG considerations into all aspects of our business operations.

 

ESG strategy

Governance & integrity
Financial inclusion
Sustainable finance
Employee empowerment

 

Governance & integrity

 

Objectives

To conduct business in accordance with the highest standards of corporate governance and ethical principles. We aim to ensure accountability, transparency, and fairness in every decision we make

 

Material topics

  • Business ethics
  • Customer protection and product responsibility
  • Data security and privacy
  • Engagement with communities and the environment
  • Internal environmental management
  • Responsible supply chain

 

Financial inclusion

 

Objectives

To use the power of technology and product innovation to drive digital financial inclusion and deliver innovative financial services

Material topics

  • Customer protection and product responsibility
  • Data security and privacy
  • Local economic development
  • Product and service innovation
  • Sustainable financial inclusion and empowerment
  • Diversity, equity and inclusion
  • Gender equality

 

Sustainable finance

 

Objectives

To manage financial risks stemming from climate change and other E&S risks, while fostering greater transparency and long-term focus

Material topics

  • Business ethics
  • Sustainable finance:
  • Mitigating E&S risks associated with client financing
  • Environmental and social management of loan portfolio
  • Local economic development
  • Mitigating E&S risks associated with client financing
  • Product and service innovation

 

Employee empowerment

 

Objectives

To be the employer of choice for top talent, providing equal opportunities for development and ensuring the best employee experience based on our values and business principles

Material topics

  • Local economic development
  • Fair working conditions and employee well-being
  • Human capital development
  • Diversity, equity and inclusion
  • Gender equality

We have chosen to focus on five UN Sustainable Development Goals (SDGs)

No poverty

We fully share the goal to end poverty in all its forms, everywhere. As one of the biggest financial institutions in Georgia, we are taking responsibility to help achieve this goal. We are known not only as a leading financial services provider and one of the biggest employers, but also as an organisation supporting local communities in ways that go beyond our core business activities. To read more about our initiatives see pages 87 – 91 and 134 – 140 in our Annual Report 2023.

Quality education

A significant focus of our community outreach efforts is education. We believe that access to high-quality education opens doors to limitless opportunities, shaping brighter futures for individuals and contributing to the prosperity of countries. By actively engaging in educational initiatives, we aim to make a meaningful difference in the lives of those around us. To read more about our initiatives see pages 134 – 140 in our Annual Report 2023.

Gender equality

We are committed to inclusion and equal opportunities in our organisation and strive for a gender balanced workforce. We do not condone any form of violence, harassment, or discrimination. We are also committed to ensuring fair and transparent remuneration practices. To read more about our initiatives see pages 67 – 85 and 120 – 132 in our Annual Report 2023.

Decent work and economic growth

The Bank contributes to Georgia’s socioeconomic development through the products and services it provides and salaries and taxes it pays. Financial inclusion is one of our priorities, and we aim to provide accessible financial services to everyone and increase financial literacy among the communities where we operate. To read more about our initiatives see pages 67 – 85, 87 – 91, 93 – 98 and 120 – 132 in our Annual report 2023.

Climate action

A changing climate presents both risks and opportunities for Georgia, its people, and its companies – and, thus, for the financial services sector. We recognise our role in addressing this global challenge. Climate change may affect us directly and indirectly, including through the impact on our clients. Bank of Georgia’s Climate Action Strategy, describes how we intend to contribute to Georgia’s climate-related goals. Assessing and discussing risks with clients, providing green finance, managing GHG emissions and improving our climate-related capacities are some of the key aspects of our climate strategy. To read more about our initiatives, metrics and KPI’s as well as targets, see pages 93 – 118 in our Annual Report 2023.

To see our ESG-related KPIs and performance, visit Annual Report 2023

Latest ESG ratings

As at November 2024, Bank of Georgia Group PLC holds an ESG risk rating of 16.2 from Morningstar Sustainalytics and is assessed to be at low risk of experiencing material financial impacts from ESG factors. In no event the website shall be construed as investment advice or expert opinion as defined by the applicable legislation.

Bank of Georgia falls into the highest scoring range relative to global peers.

As at October 2024

ISS uses 1-10 scale. 1 indicates lower governance risk, while 10 indicates higher governance risk versus its index or region. 1 indicates higher E&S disclosure, while 10 indicates lower E&S disclosure. Scores are as at November 2024.

FTSE Russell (the trading name of FTSE International Limited and Frank Russell Company) confirms that Bank of Georgia Group PLC has been independently assessed according to the FTSE4Good criteria, and has satisfied the requirements to become a constituent of the FTSE4Good Index Series. Created by the global index provider FTSE Russell, the FTSE4Good Index Series is designed to measure the performance of companies demonstrating strong Environmental, Social and Governance (ESG) practices. The FTSE4Good indices are used by a wide variety of market participants to create and assess responsible investment funds and other products.

In 2023, Bank of Georgia Group PLC received a C (‘awareness’), on a scale from A (‘leadership’) to F (‘failure to disclose’).

A CDP score provides a snapshot of a company’s disclosure and environmental performance.

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