At the time when environmental and social considerations are becoming increasingly intertwined with financial decisions, the banking sector is undergoing a great transformation. On this path of progress, Hipotekarna Banka stands as one of the champions of sustainable finance, pioneering initiatives and a strong commitment to responsible banking practices. This bank has joined the ESG Adria Summit as our silver sponsor!
Hipotekarna Banka is intensively working on integrating complex ESG principles into its investment and lending practices by implementing a comprehensive ESG risk management framework. This framework includes evaluating environmental, social, and governance factors when assessing investment opportunities and loan applications. The bank may screen potential investments and loans based on criteria such as carbon footprint, social impact, and governance practices, aiming to align its financial activities with sustainability objectives.
Hipotekarna Banka recently supported a local sustainability project Helmsman focused on measuring and advancing the renewable energy spending by incorporating this innovative solution into its branches - making its BMS quite evolved. Through a partnership with local renewable energy supplier EPCG, the bank has switched to a so-called green package that allows for 100% of its energy sources to be renewable. The plan is that the bank switches to a green package entirely (all branches) in 2024. The bank has partnered with GGF - making green housing one step closer to reality in Montenegro. The bank has also supported the creation of Jobiri, an innovative platform helping students find jobs, and sharing it with the University of Montenegro.
These initiatives not only contribute to regional economic development but also improve the impact the bank has on overall environment, its community and social aspect of banking business aligning with the bank's commitment to sustainability.
Hipotekarna Banka takes proactive steps to measure and report on the environmental and social impact of its operations. This year, Hipotekarna Banka has officially published its first Sustainability and Impact Report, the first of its kind on the Montenegrin banking market. The bank conducts regular assessments to quantify its carbon footprint, assess the social implications of its lending activities, and monitor governance practices within the organisation. These metrics are then included in the bank's annual ESG report, providing stakeholders with transparent information on its sustainability performance.
Hipotekarna Banka engages with its clients to promote sustainable business practices through various initiatives. The bank offers advisory services to help clients integrate ESG considerations into their business strategies, assisting them in identifying opportunities for improvement and mitigating ESG risks. Additionally, the bank provides financing solutions tailored to support green initiatives, such as energy-efficient homes (product) or sustainable infrastructure projects (Green housing loans). Through these efforts, Hipotekarna Banka collaborates with clients to drive positive environmental and social impact while fostering long-term sustainable growth.
“Proactive approach of Hipotekarna Banka to ESG integration and sustainable banking sets a commendable example for the financial sector. With a strong commitment to environmental protection, social responsibility, and transparent reporting, this bank continues to lead by example in promoting sustainable development and creating value for both its stakeholders and the community at large”, said Biljana Braithwaite, CEO of Sustineri Partners, organiser of the ESG Adria Summit.
To learn more about the Hipotekarna Banka, visit their official website.
