We now live in “the age of transparency,” where companies that do not own up to their responsibilities will ﬁnd themselves in “the worst of all worlds,” where they will “be made responsible and still not be considered responsible.” Author Christopher Meyer
AAIB’s leads ESG Disclosure in Egyptian Banking Industry
The urgency and magnitude of the risks and threats, along with increasing opportunities, makes transparency about economic, environmental, and social impacts a fundamental component in effective stakeholder relationships and investment decisions.
Sustainability reporting is about gap assessment and value creation. It is the exercise of measuring, revealing, and being responsible to internal and external stakeholders for economic, environmental, and social performance. It should provide a balanced and genuine representation of the sustainability performance of an organization.
As sustainability reporting have been embraced worldwide, the most widely adopted framework has been the Global Reporting Initiative (GRI) Sustainability Reporting Framework. It is the GRI’s mission to provide a trusted and credible framework for sustainability reporting that can be used by organizations of any size, sector, or location.
The GRI was founded at the end of the 1990s to serve as a generally accepted framework for reporting on an organization’s economic, environmental, and social performance. In its ﬁrst few years, only a few dozen companies issued their reports using the GRI guidelines. By the mid-2000s, hundreds of companies were voluntarily produced sustainability reports adopting the GRI framework. Today, thousands of companies, from all over the globe, are publishing sustainability reports using the GRI framework. (GRI Website)
In 2010, AAIB publishes its first Extra-financial report in Egypt
In 2010, AAIB published its first sustainability report entitled finance with value creation in November 2010, marking the first sustainability report to be issued by a financial institute in Egypt. Issuing this report is only a step of many to come, in order to keep our stakeholders informed about our Sustainability mission, while maintaining an open channel for engaging them throughout
Our approach to reporting was based on addressing a section for each one of our stakeholders: employees, clients, stakeholders, business suppliers, community and the environment. In each section, we stated how the bank worked to make a difference and create value for each. Where we believe that the voice of our stakeholders will always be our way pathway to their satisfaction, we were dedicated to provide in each section a column for their testimonial stating how they perceive the banks mission and activities.
In 2014, AAIB partnered with Ernst & Young (EY), to publish the Bank’s first GRI based Sustainability Report in the Egyptian Banking Sector. The report development journey aimed mainly at integrating a sustainability strategy into the bank’s core business operations. This 360 approach has been based in setting customized ESG Key Performance Indicators (KPIs) for each department in the Bank.
Sharing Value is about engaging our partners
AAIB’s Employees Engagement
On January 31 2014, AAIB’s top management - first & second line of management - as well as Sustainability ‘’Change Agents’’ in each department, were invited to attend the FIRST ‘’Sustainability Reporting’’ workshop.
The main objective was to help all AAIB functions integrate sustainable practices & KPIs into day-to-day business operations, in a way that further drives functional growth and increases profitability and minimizes risk while maximizing social and environmental values.
Ernst & Young (EY) facilitated the workshop in coordination with AAIB’s Sustainability Unit and Training Department. Engagement activities and group assignments were the strategy used to build the concept and engage employees as a major stakeholder.
AAIB’s Stakeholders (Partners) Engagement
An integral part of sustainability reporting is the ongoing dialogue between the company and its stakeholders. In this, AAIB has conducted the first ‘’Stakeholders Engagement Roundtable’’ to get their perspective as to how they read “AAIB’s Impact” with regard to the Environmental, Social and Governance (ESG) issues as deemed of relevance to them.
Valuable stakeholders (partners) were invited; AAIB Sustainability team and EY (AAIB’s partners in report development) facilitated the workshop. A materiality exercise took place to identify key topics from the stakeholders’ point of view, to include in AAIB’s sustainability report.