NLB Group records sustainable financial performance and actively pursues its sustainable mission: to lead by example in improving quality of life, and contributing to sustainable economy and society in the Adria region. To this end, the Group has set three sustainability pillars (sustainable operations, sustainable finance, and contribution to society) and set clear objectives for each pillar (ensure sustainable financial performance, achieve added value for key stakeholders, and manage ESG impacts, risks and opportunities).
NLB Group develops a strategy to allocate its capital and expertise to clients in such sectors in line with credible transition plans to achieve net-zero transition, engagement with clients to navigate their net-zero journeys, managed phase outs of carbon-intensive economic activities, and a massive re-orientation of capital flows towards transition activities and solutions.
In 2021, The NLB Group took an important step by implementing a coal exclusion policy, prohibiting the financing of new coal-fired power plants. In addition, the bank is active in financing renewable energy projects and promotes energy efficiency throughout its operations.
In line with NLB’s commitment to a climate-positive future and its net zero ambition, NLB d.d. officially joined the UNEP FI Net Zero Banking Alliance (NZBA) in May 2022, becoming the first banking group headquartered in Southeast Europe (SEE) to sign the Commitment Statement.
In 2023 NLB Group made significant steps toward a comprehensive climate strategy which will encompass NLB Group's own operations and the portfolio, ensuring a holistic and timely decarbonisation approach.
NLB Group is proud that its efforts and progress in the field of sustainability and social responsibility have been recognized once again, which confirms and improved ESG rating by one of the world's leading companies focused on ESG research, rating and data – Sustainalytics. NLB's new ESG risk score is 16.0, and Sustainalytics assessed that the Group has a low risk of significant financial impacts of ESG factors, due to medium exposure and strong management of significant ESG issues. Thus, last year's rating was improved by 1.7 points, placing NLB Group among the 13% of the best banks in the world.
“At NLB Group we believe that banks have an important social function which goes beyond lending and investing. Therefore, we consider social factors in all our operations and all pillars of sustainability. Furthermore, we actively contribute towards wider socio-economic development through our corporate social responsibility activities with an overarching focus on education in the communities where we operate”, said Martin Leberle, the President of the Management Board of NLB Bank a.d. Podgorica.
In January 2024, the fourth season of the NLB Frame of Help project started. The project, which has involved hundreds of regional companies in the past three seasons, is now looking for small and medium-sized companies from our home region that are addressing pressing social issues. This mostly relates to projects that tackle challenges such as the overuse of digital technologies among young people, peer violence, human rights violations, gender equality, poverty, as well as the challenges posed by dementia and other diseases of an ageing society.
NLB Frame of Help is intended for regional enthusiasts and visionaries who believe in our home region, in its people and, last but not least, in a better quality of life. Companies from all over the region with a track record of successful projects, as well as those who are still developing their innovative ideas in the field of sustainable business, have applied by 10 March 2024, when the tender was closed.
The ten best business ideas from each market where NLB Group operates, i.e. Slovenia, Serbia, Bosnia and Herzegovina, Northern Macedonia, Montenegro and Kosovo, are selected for the final round. The finalists will benefit from more favourable financing and other banking solutions, as well as increased media visibility with the help of the media partners. The winners will be announced on 9th of May at the NLB Group Investor Day in Ljubljana. The best project will be awarded a prize of EUR 50,000, the second-placed project EUR 30,000 and the third-placed project EUR 20,000.
NLB Banka Podgorica
NLB Banka Podgorica continued cooperation in the EBRD Women in business programme that helps women-led SMEs to access tailored finance and business advice and participated at the annual conference that celebrates women entrepreneurs in the Western Balkans. The bank is a primary choice for more than 32% of registered businesses managed by women in Montenegro, and it offers easy access to financing sources for female entrepreneurs.
The bank is determined to create a better footprint locally, which is supported by the fact that in the last year it reduced the use of paper by 33,03%, and the consumption of fuel and electricity by over 10%, as well as moved into a new adapted head office, renovated to match the latest sustainability standards.
NLG GEFF loan for sustainable home - NLB Bank and EBRD signed a contract worth 2 million euros for lending to the population for energy-efficient investments in residential buildings and reducing costs and CO2 emissions. The funds are part of the Green Economy Financing Fund (GEFF), which supports investments in high-performance green technologies, materials and solutions for privately owned residential buildings. This will provide concrete energy saving measures such as insulation, windows, heat pumps and solar panels, which in turn will reduce greenhouse gas emissions, lower energy costs and improve the quality of life for homeowners.
In order to stimulate sustainable investment, the NLB GEFF loan for a sustainable home is approved without a loan processing fee and with a refund of up to 20% of the loan amount. It is intended for financing energy-efficient technologies in households, and is approved with a repayment term of up to 10 years.
In 2023, NLB Bank supported multiple other activities such as NLB Sustainability Festival, multiple organisations that are dedicated to the most important and sensitive groups - children, families and the elderly, basketball in wheelchair (NLB Wheel league), and regional project Sports for Youth.
NLB Group most notable projects across the region in 2023 include: Bankarium (the banking museum of Slovenia, meant to create financial literacy centre), support to the 2023 International Young Beekeepers Competition in Slovenia, support to Traditional Organic Contest (encouraging organic agriculture in Serbia), the project Grassroot sports activities (NLB Banka Skopje: program for children with and without intellectual disabilities), and also NLB d.d. supported 66 sport clubs within the NLB Sport for Youth program.
“NLB Group has a proven record in implementing ESG practices on a systematic level, and it sets a perfect benchmark for sustainable banking practices across the region and all of its units. The are true drivers of sustainable transformation in Adria, and we are proud to have them as our partners at the ESG Adria Summit 2024”, said Biljana Braithwaite, CEO of Sustineri Partners, organiser of the Summit.
