Adopting a groundbreaking approach, Sber becomes the first Russian financial institution to establish a public Responsible Finance Policy. The progressive policy aims to guide the bank’s growth while aligning with ethical finance principles.
ST. PETERSBURG, RUSSIA (India CSR) – During the Saint Petersburg International Economic Forum, Alexander Vedyakhin, First Deputy Chairman of the Executive Board of Sberbank, unveiled a significant development in Russian finance history. Sberbank has enacted a pioneering public Responsible Finance Policy, marking a trailblazing step for financial institutions in the country.
Paving the Way to Responsible Finance
The policy defines Sber’s growth areas and sets out certain sectors to which the bank will not extend loans. These include pawnbrokers, microfinance organizations, political activities, and activities involved in the extraction of asbestos due to its carcinogenic nature, among others.
“When we were drawing up this policy, we studied the 50 best examples of such documents in international practice, and discussed it with leading banks and partners, primarily with the National ESG Alliance,” stated Vedyakhin. This exhaustive process has ensured that the policy is grounded in global best practices and expert consultation.
Setting Standards for Other Financial Institutions
With the publication of this policy, Sber sets an example for other banks and financial institutions to follow. This first-of-its-kind document in the Russian financial landscape promotes responsible finance, a concept that has been gradually gaining traction on the global stage.
“We approved the policy and have published it. It is available to look through. This is the first comprehensive document on such a level. We hope it will set standards by which other banks and financial institutions will be guided,” added Vedyakhin.
Mitigating ESG Risks and Promoting ‘Green’ Products
The new policy goes beyond setting out Sber’s lending principles, by also addressing ESG (Environmental, Social, and Governance) risks within the bank. The document outlines five distinct risk levels and presents specific assessment and management tools for each level.
Further underlining its commitment to responsible finance, the policy indicates which of Sber’s products are ‘green’, adaptive, social, and ESG products. This move strengthens Sber’s alignment with the global push towards sustainable finance, and demonstrates a clear commitment to contributing positively to society and the environment.
This adoption of the Responsible Finance Policy by Sber underscores a crucial step forward in the integration of responsible financial practices in Russia, setting the stage for a new chapter in the country’s financial sector.
The Sberbank
Sberbank is a Russian multinational bank headquartered in Moscow. It is the largest bank in Russia and Europe, and one of the largest banks in the world by assets. Sberbank was founded in 1841 as the Imperial Russian State Bank, and it has been through several name changes since then. The bank was privatized in 1991, and it became a public company in 2007. Sberbank is majority-owned by the Russian government, and it is considered to be a systemically important bank.
