NLB Group Improves its ESG Rating
December 1, 2023
Do you ever wonder what kind of trace would you leave behind if your world were to stop spinning today? In the NLB Group, where we focus our effort on creating better footprints, we ask ourselves this question every day. We are namely well aware of the responsibility we bear as one of the key banking and financial institutions in Southeast Europe, our home region. We are proud that our efforts and our progress have been recognized once again and are also reflected in the improved ESG rating by one of the leading independent ESG research, ratings and data firms in the world – Sustainalytics.
At NLB, we received our first ESG Risk Rating from Sustainalytics just under a year ago. The second time around, we have improved it significantly. Namely, our banking group received a new ESG Risk Rating of 16.0 and was assessed by Sustainalytics to be at low risk of experiencing material financial impacts from ESG factors. We have thus improved last year's rating by 1.7 points, and the improved rating ranks us among the 13 percent of the best banks among all companies assessed by the Sustainalytics.
We improved our sustainable operations the most in the area of considering ESG risks and opportunities in the entire financial business, human resources and ethical operations. Furthermore, the Sustainalytics found that no event occurred in the Group or its operations that would have a negative impact on stakeholders, operations or the environment. You may find the report here.
ESG risk rating, similarly to credit rating, is a measurement of evaluation of a company, fund, or security's performance, except that it focuses on fulfilment of environmental (E), social (S) and governance (G) standards, instead of credit ability. In the financial world, it is becoming an increasingly important category, which investors and analysts monitor ever more closely and, on its basis, assess which companies to invest in and in which not. A year ago, NLB was the first bank with headquarters and an exclusive strategic interest in Southeast Europe which has obtained this rating, as well as the first among the companies, listed on the Ljubljana Stock Exchange.
Copyright ©2023 Sustainalytics. All rights reserved.
This article contains information developed by Sustainalytics (www.sustainalytics.com). Such information and data are proprietary of Sustainalytics and/or its third party suppliers (Third Party Data) and are provided for informational purposes only. They do not constitute an endorsement of any product or project, nor an investment advice and are not warranted to be complete, timely, accurate or suitable for a particular purpose. Their use is subject to conditions available at https://www.sustainalytics.com/legal-disclaimers.