THE increasing recognition by businesses of the long term importance of embracing sustainable business practice prompted Nigerian banks to focus on sustainability. The benefits of such projects have become undeniably evident, seeing the remarkable improvement of lives and wellbeing of beneficiaries.
Expectedly, a service as such is one that deserves every commendation there is, especially seeing the many challenges that come with the terrain. One of such institutions that has distinguished itself in this regard is Access Bank, a major player in the Nigerian banking sector. The bank has since 2008 showed unwavering commitment to sustainability, actively pushing the boundaries of the industry, and initiating people and environment-friendly projects which has been attracting attention locally and internationally.
The SERAS
One of the awards platforms that has recently recognized the banking giant is the SERAS. Organisers of the awards adjudged Access Bank as the most responsible bank in Africa – a category that undoubtedly was the biggest of the night and an honour the Bank was receiving for the second time. Other categories the Bank won were Best Corporate Communications team, Best Partnership and Sustainability Practitioner of the year which was for the second time in a row awarded to the Banks Head, Sustainability, Omobolanle Victor-Laniyan.
SERAs which is organised annually to celebrate, promote, and raise awareness about the roles that the corporates and private sector plays in the development of Africa with emphasis on the different schemes and innovative programmes they employ to achieve their goal. According to Ken Egbas Our core objective is to work alongside corporate Nigeria to drive home the message that doing business also means doing good, I can say we are only going to get better and bigger from this point on.
But this is only the most recent
Since 2008, Access Bank has shown unwavering commitment to sustainability, winning several awards in recognition of its hard work. The Bank also invested N1.4 billion in capacity building programs for its female employees. As a result of all these efforts, recognition have been coming the way of the Bank. In 2016, it became the first African financial institution to be awarded the prestigious Karlsruhe Sustainable Finance Award, which it also won in 2017 and 2018.
Access Bank also became the first West African financial institution to win the Financial Times/International Finance Corporation(FT/IFC) Sustainable Bank of the Year Award, Middle East and Africa. Other awards in recognition of the Banks leadership in promoting sustainability include: CBN Sustainability Awards (2018 and 2017) as first place winner in four categories (back to back), including Most Sustainable Bank of the Year Award. Also, the Bank is an 8-time winner of the World Finance Award as the most Sustainable Bank in Nigeria (it also won this award in 2018).
For the first time in the history of the prestigious (SERAs), Access Bank won the Most Responsible Company of the Year, overall winner in two consecutive years, 2018 and 2017. Access Bank is the first financial institution in Africa to win the Karlsruhe Sustainability Finance Award as the Outstanding Business in Sustainability Achievement, and the bank has won the awards three times consecutive (2018, 2017, 2016). The Bank also emerged winner of the 2018 Euromoney Awards as Africas Best Bank for Corporate Social Responsibility. Access Bank CEO, Dr. Herbert Wigwe, was also awarded The Sustainability Leader of the Year by SERAs and by Karlsrushe Sustainability Finance Award. The Banks Head of Sustainability Omobolanle Victor-Laniyan was awarded the Sustainability Practitioner of the Year in Africa for two consecutive years (2018, 2017) by SERAs.
What inspired the journey
Although Access Bank had begun its own efforts earlier, in September 2011, the Bank brought together stakeholders in the financial sector with the aim of securing buy-in for the development of the Nigerian Sustainability Business Principles (NSBP). Thereafter Access Bank led the development of the NSBPs; comprising nine principles namely: Environment and Social Risk Management; Environment andSocial footprints; Human Rights; Womens Economic Empowerment; Financial Inclusion; Environment and Social Governance; Capacity Building; Collaborative Partnerships; and Reporting, and today the principles are adopted by all banks in Nigeria including the CBN. This year (2018), marks the fifth anniversary of the implementation of the NSBP in the Nigerian financial sector.
The Bank has committed itself to championing the sustainability cause. Sustainable businesses are ones that are able to ensure their future. They are able to cut down on energy and waste costs, which will in turn have a positive impact on their bottom lines. Ignoring the relevance and importance of sustainability is foolhardy, Herbert Wigwe, Managing Director/Chief Executive Officer, Access Bank Plc. said in a recent interview with World Finance.
Wigwe added “Sustainability to us is responsible business practices and community investment. Our work in sustainable development primarily focuses on health, arts, sports, education, gender empowerment and the environment of the Bank. At Access Bank, we recognise the sustainability journey is filled with challenges, and we believe that sustainability must be embedded into the fabric of any business that intends to contribute to economic development while achieving long-term success. Sustainability therefore remains at the core of our operations. We have set up a sustainability committee at the executive management and board level, tasked with the responsibility of steering Access Banks sustainability strategy. The committee is responsible for the supervision of the banks sustainability activities. This includes monitoring performance and producing public reports of the banks sustainability projects.
Speaking recently in Lagos, the Group Head of the Banks Sustainability, Omobolanle Victor-Laniyan said: Access Banks sustainability initiatives are based by the 3Ps of sustainability namely Profit, Planet and People. We recognize that a better and prosperous future is linked to the well-being and health of our planet. Thus, the protection of the environment is germane to us. We are committed to supporting the growth and prosperity of our communities because we see ourselves as an integral part of those communities.
The journey so far
The Bank has since inception stayed true to its commitment and allocates one per cent of its profit before tax to sustainability initiatives. In addition, Access Bank incorporated an Environmental, Social and Governance (ESG) rating as part of its lending criteria. It also introduced a financial inclusion strategy which led to development of its USSD platform to drive financial inclusion.
In the area of women empowerment, the Bank, among other things, ensured that more than 30 per cent of its directors are women. It also prioritised the creation of a gender bias-free environment that recognises and rewards every member of staff based on their abilities and capabilities. Not just that, the Bank created an array of women-centric products including the W Power loan which allows business women access specialised loans, extended maternity leave, mentorship through its W Initiative targeted at Women Empowerment and educating 55,000 women though its W Academy.
The Banks interest in sustainable environmental management has also seen it initiate a number of projects including a waste reduction initiative as part of its cost reduction strategy. It launched a Save Paper initiative across several business locations with the aim of cutting printing and paper use by 50 per cent. In addition to all these, Access Bank also introduced an early branch closure policy to promote work life balance.
To implement its commitment to people empowerment and growth of the communities, Access Bank introduced an Employee Volunteering scheme to provide employees with a platform to give back to society. To further promote the culture of sustainability among its staff, the Bank made it part of the assessment in the performance evaluation process of employees.
Impact of Sustainability Initiatives
The impact of these initiatives is captured in the Banks sustainability footprints across the country, captured in four buckets namely economic responsibility, environment responsibility, sustaining societies, and collaborations and partnerships.
Under economic responsibility, Access Bank introduced Beta Mama Beta Pikin to promote savings culture amongst the lower band of society whilst providing an opportunity for mothers and their children to gain access to health insurance. The Bank also supported 30 hospitals through the Hospital Facility Upgrade Support Scheme (HFUSS) while it also unveiled the N1 billion AccessNolly Fund, a new and innovative financial service aimed at improving and providing solutions for the Nigerian Movie industry.
In terms of environmental responsibility, Access Banks early shut down policy has led to 24.9 per cent reduction in its diesel usage. Its commitment to clean energy led to deployment of over 413 solar-powered ATMs, while four of its branches are solar-powered. It is worthy of note that the Banks Ogunlana Drive branch is fully powered by solar energy with no connection to the national grid, while 311 branches are powered by hybrid of alternative energy sources and national grid.
Access Bank has deployed strategic investments in 853 communities with over 20 million individuals and 358 Non-Governmental Organisations benefiting – this is in fulfillment of its commitment to developing sustainable societies. With these numerous activities highlighted and the several yet to be launched, it can then be safe to say that Access Bank may well be one of Nigeria’s most sustainable businesses.