The Commercial Bank of Ceylon was crowned the overall winner for its Annual Report 2020 which was also adjudged the best in the Banking sector at the Sri Lanka Sustainability Reporting Awards presented by the Association of Chartered Certified Accountants (ACCA) Sri Lanka.
These awards were presented to the Bank for being one of the most transparent, accountable, and responsible entities in the country. Titled ‘101: A century of experience. A year of reinvention,’ Commercial Bank’s 2020 annual report features a dedicated section elaborating on its Business Model for Sustainable Value Creation.
This section reports on the Bank’s inputs and outcomes in the areas of Financial capital, Manufactured capital, Intellectual capital, Human capital, Social & Network Capital, and Natural Capital as well as outputs based on the Bank’s products and services and value driver activities.
A Statement on Capital Position also elaborates on activities undertaken to create each type of capital. This includes loans screened through the Bank’s Social and Environmental Management System (SEMS), paper reduction and recycling promotions, increased usage of renewable energy, and switching to energy efficient appliances under Natural Capital. Indicators of Value derived in this category include reduced energy consumption in gigajoules, number of new solar panel installation locations, and number of online banking and mobile banking users.
While the table on Social and Network Capital lists activities such as financial inclusion promotions, co-creation of products and services, collaborations with business partners, improvements to the capacity of SMEs, expansion of the Bank’s footprint and support to the community, indicators of Value Derivation feature investments by the Bank’s CSR Trust among others.
Commenting on this award, Commercial Bank Managing Director and Group CEO Mr S. Renganathan said: “As a responsible financial entity, not only are we wholeheartedly committed to moulding our work ethics around sustainable business practices, we are also committed to comprehensive reporting on our latest best practices in our annual reports. This keeps us focused, and our stakeholders fully informed, on how sustainability influences our business operations.”
In the realm of sustainability, Commercial Bank finances projects that focus on renewable energy, energy and resource efficiency, waste management, emission reductions, smart agriculture and green buildings. The Bank’s Green Financing is geared towards the fight against climate change, meeting the United Nations Sustainable Development Goals 7 and 12: Affordable and Clean Energy, and Responsible Consumption and Production. It also revolutionised digital banking by introducing features in its ‘Flash’ mobile application to measure and offset customer impact on the environment.
Additionally, the Bank has numerous commitments including a mangrove restoration project in Koggala, a marine turtle conservation initiative to protect the biodiversity of the ocean, and it supports the ‘Thuru Mithuru’ initiative of the Sri Lanka Army to promote self-sufficiency in essential food.
ACCA is the fourth organisation to recognise Commercial Bank’s 2020 Annual Report with awards. Previously Transparency International Sri Lanka, the Institute of Chartered Accountants of Sri Lanka, and the Institute of Certified Management Accountants (CMA) of Sri Lanka have recognised its excellence in different aspects with awards.
The ACCA Sri Lanka Awards for Sustainability Reporting launched in November 2004, has been in the forefront of recognising organisations on their impact and accountability on the environment and society, be it direct or indirect and has been facilitating corporations to provide comprehensive, credible and transparent analysis of their social, economic and environmental impact.
Sri Lanka’s first 100% carbon neutral bank, the first Sri Lankan bank to be listed among the Top 1000 Banks of the World and the only Sri Lankan bank to be so listed for 11 years consecutively, Commercial Bank operates a network of 268 branches and 938 automated machines in Sri Lanka. Commercial Bank is the largest lender to Sri Lanka’s SME sector and is a leader in digital innovation in the country’s Banking sector. The Bank’s overseas operations encompass Bangladesh, where the Bank operates 19 outlets; Myanmar, where it has a Microfinance company in Nay Pyi Taw; and the Maldives, where the Bank has a fully-fledged Tier I Bank with a majority stake.