Interview with László Borbély and Gabriela Ciulacu Bițan, the Department of Sustainable Development: Inside the Romanian Code of Sustainability

This interview was published in Sustainability Index Magazine 2023.

How will the Code support businesses in Romania?

As part of its 2030 strategy for sustainable development overseen by a dedicated department within the government, Romania has recently launched one if its most ambitious projects yet: a national Sustainability Code. The Code and its guide for use by businesses in Romania have been recently finalized and will be followed by a reporting framework, which is currently in testing phase. Together, the two components will provide companies with a tool for unified and transparent reporting.

László Borbély, State Counsellor, and Gabriela Ciulacu Bițan, Senior Advisor at the Department for Sustainable Development, share more about why the Romanian Code of Sustainability was necessary and how it will support the business environment in the country.

1. The Romanian Code of Sustainability represents one of the most important and ambitious projects that the Department of Sustainable Development is currently implementing. How does the Code support companies in Romania?

László Borbély: As it is already quite well known in the business environment, non-financial reporting has been an obligation for companies with over 500 employees for several years. The new European directives make sustainability reporting an even more complex task that will gradually address an increasing number of entities. Besides the few companies that currently develop rigorous sustainability reports, many do not give enough importance to the subject. In addition, we can’t even know concretely what the situation is because right now the non-financial declarations that are submitted are not transparent.

We have the duty to stimulate the business environment to adapt to the new realities and not to be inferior to what is happening in the West in the area of sustainability reporting. That is why we created the Romanian Code of Sustainability and the reporting platform, which is free, both for entities that have the obligation to submit non-financial declarations/sustainability reports, and for those that wish to report voluntarily. In addition to the fact that the tool we developed ensures uniform and transparent reporting, it provides examples to guide users on how to comply with the reporting obligation.

2. The next period, until 2026, is marked by many new requirements at the European Union level regarding sustainability reporting. What actions will the Department for Sustainable Development carry out in 2023 to support the business environment in the implementation of these changes?

László Borbély: First of all, the entire approach that we started must also be seen in the context of the new regulations at the level of the European Union. In the process of creating the Romanian Code of Sustainability, we took into account all the relevant elements of the new directive, so that through the tool we created we meet the need of the business environment to adapt to the new requirements.

In addition to the final outcome of the consultation process, it was also very important that we were able to drive discussions on this topic and promote sustainability reporting to the public. We are also involved through our inter-institutional network in the transposition of the new CSRD directive, which allows us to keep the interaction between the business environment, NGOs and public institutions open, so that the implementation is done as smoothly as possible.

3. In June 2022, you presented the state of development of the Romanian Sustainability Code at an event organized at the Victoria Palace. What other actions have you taken on this project in the meantime?

Gabriela Ciulacu Bițan: The most important result we have achieved in the meantime is the finalization of the Romanian Sustainability Code and the Guide for its use. The two documents can be downloaded from the dedicated website: www.codsustenabilitate.gov.ro. We are also nearing the finalization of the reporting platform, in the sense that it is in the testing phase.

Since the implementation of the Code requires engagement from the business environment, at the end of last year we also had a promotion campaign under the slogan: „Choose the path of responsibility, use the Romanian Code of Sustainability!”, carried out on social networks (YouTube, LinkedIn, Google Display Newtork, newsletters) so that our message reaches as many entities as possible. We managed to promote the Sustainability Code at the local level as well, through the 8 regional debates held within the Sustainable Romania project. Recently, training sessions for the use of the Code took place, attended by 116 representatives, especially from the business environment.

In the short term, we aim to finalize the legal framework for the effective operationalization of the Code, and in the medium and long term we will continue with promotional actions and the provision of support for the business environment.

4. In what way will the Code support the analysis of a company’s sustainability performance and benchmarking with other companies in the industry?

Gabriela Ciulacu Bițan: Providing a benchmarking tool was also one of the goals with which we set out on the road to create the Romanian Sustainability Code. A big plus that the Code and the platform brings is the fact that reporting will be transparent and unified. The reports of all companies will have the same chapters and the same performance indicators.

The platform allows searching according to several filters, among which: company type, number of employees, field of activity, and most importantly, search and comparison according to each criterion or performance indicator. In the future, when companies have multiple reports and multi-year data series, we will implement the ability to compare results for a specific criterion/indicator from each year.

Interview with Ömer Tetik, CEO Banca Transilvania: Sustainable banking

This interview was published in Sustainability Index Magazine 2023: https://sustainabilityindex.ro/sustainability-magazine-2023/

Banca Transilvania’s objectives for the coming years are to consolidate the portfolio of green financing (to grant at least 3.5 billion lei for green projects), maintain the 20% financing of green mortgages, contribute to financial inclusion and continue investing in the bank’s digital transformation.

1. How has the bank’s mission changed since more and more emphasis is placed on sustainability in the business environment?

From the beginning, our mission has been to support and develop the business environment in Romania, through financial products and services, but also through access to financing for companies, entrepreneurs and the population.

Through the way we allocate resources, we play a catalytic role in Romania’s path towards a circular economy. Therefore, we have learned to integrate aspects related to the environment, social impact or the promotion of good governance into our lending practices.

I would like to mention our affiliation with the Principles for Responsible Banking within the UNEP FI (United Nations Environmental Program – Finance Initiative), which helps us to analyze the impact that our activity has from the perspective of the Sustainable Development Goals (SDGs). We are also paying more attention to sectors with high carbon emissions and analyzing the carbon footprint of our portfolio.

2. The topic of Climate Change has been at the top of the agenda for several years and will remain so for a long time to come. How did Banca Transilvania propose to fight against their devastating effects through the partnerships it has?

We choose our suppliers and business partners. Last year (NR: in 2022), 96% of BT suppliers in Romania were local suppliers, selected based on the achievement of ESG criteria, such as energy efficiency and respect for the working conditions and health of employees. We also prioritize the purchase of electricity from 100% renewable sources, and over 80% of our electricity comes from such sources.

Regarding partnerships, starting in 2017 we developed a partnership with the European Bank for Reconstruction and Development (EBRD) whose purpose was to grant green credits to individuals for the purchase of residential properties and for the purchase of goods with superior energy performance. Last year (NR: in 2022), 1 in 5 mortgages granted was green. In the same way, through the Roseff program we granted financing for the optimization of the energy consumption of SMEs. Also, as an official partner of the European Energy Efficiency Fund in Romania, we granted loans for the purpose of improving the energy performance of the financed objectives or the implementation of energy production capacities from renewable sources.

Just last year (NR: in 2022) we signed a financing with IFC (part of the World Bank), which represents a pioneer in Romania and in Central and Eastern Europe in terms of blue economy projects.

This is a new area of interest for us, supporting Romania’s alignment with EU water management requirements and standards, as well as increasing the efficiency of water use in all sectors.

3. What are the most important ESG objectives of the bank for the coming years?

One of these is to strengthen the portfolio of green financing (grant at least 3.5 billion lei for green projects), maintain the 20% financing of green mortgages, contribute to financial inclusion and continue investing in the bank’s digital transformation. We also aim to reduce the intensity of our carbon footprint by increasing the use of renewable energy sources, as well as water, plastic and paper consumption and waste generation.

When it comes to our own team, our goals are to continue to closely monitor the balance of gender, age, and the net salary ratio between men and women with a focus on closing the gap. At the same time, we assume the role of the employer who facilitates learning, investing in periodic up-skilling courses and training.

4. What are the key ingredients of a bank that wants to be a leader in sustainability?

It is essential to prioritize the management of social and environmental risks by identifying, assessing and monitoring them. Also, corporate responsibility is a crucial ingredient.

5. Support for entrepreneurs is a basic pillar for Banca Transilvania. What are the best results you have had following the development of programs dedicated to entrepreneurship?

Entrepreneurship is part of our DNA, therefore supporting it through dedicated programs and projects is part of our core business. An example is Stup, the BT space dedicated to the entrepreneurial community in Romania. Currently, the community has gathered a number of more than 9,000 members.

We are supporters of Romanian start-ups through BT Mic, the microfinance company of the BT Group. With a portfolio that has a weight of approximately 20% start-ups, BT Mic is also the first financier for over 70% of customers.

Interview with Adina Teleucă: TOBORO PROJECT.  Startup from Romania accepted in the Founders Program in Paris

1. The Toboro project, initially a platform dedicated to the lending of objects between individuals, was designated in November 2021 as the winner of the Future Makers international incubator, organized by Social Innovation Solutions. How did you arrive at solutions for companies today, for the valorization of electronic waste (e-waste)?

Indeed, Toboro was born in Bucharest, Romania, in 2021, along with our participation in the Future Makers program. The entire experience of the founders in this project was somewhat atypical. Less than a year later, we decided to launch the mobile application directly in France, along with relocating part of our team there. From there began a new phase of learning and development through trial and error, as is typical for many startups.

For our project, the challenges were even greater since we chose to operate in a market where we had no previous experience. This entire process helped us better understand the problem we were trying to solve, as well as our customers’ needs. This led us to pivot from a C2C business model to a B2B model, addressing the same challenge – overconsumption that generates huge amounts of waste – to organizations.

2. Why did you choose France for Toboro development?

In the last year, we realized how important it is to be present in an ecosystem where people are familiar with the problems you are trying to address and who are aware of the impact of climate change on the economy. This topic is present here in the academic environment, in the public space, in the startup ecosystem, and also at the political level, which is reflected in dedicated programs that provide resources to those who want to innovate in this field.

Moreover, France is an important hub for entrepreneurs and is distinguished by its diversity and a significant international community that has chosen to develop their products and services here, especially in Paris. There is support from both the private and public sectors (La French Tech, BPI France), making France an attractive place for startups.

Although we would have liked Romania to be the country where we launched, even though we did not do so, we hope to see it ready to support entrepreneurs more. But beyond that, personally, I believe that today, more than ever, you can launch a business from any corner of the world. What characterizes an entrepreneur is determination and the ability to find solutions, regardless of challenges or the environment they come from. We can see, even in Romania, more and more entrepreneurs who are having a major impact, including internationally.

3. Unlike government programs and recommendations from environmental organizations, with Toboro you provide companies involved in the recovery of e-waste with immediate feedback of their actions, through statistics and data on the reduction of carbon emissions, the amount of raw materials saved or the financial value of their actions, as is the case with donations. How much does this data matter in motivating managers of organizations to engage in sustainability actions?

Data are extremely important in supporting the actions that companies undertake, and from the numerous discussions we have had with organization representatives, we have noticed that they also represent a great challenge. On the one hand, this need is accentuated as the deadline approaches for the new European directive on corporate sustainability reporting (CSRD) to come into force. On the other hand, the increasing pressure also comes from consumers and investors. According to the most recent study by PwC, 94% of investors believe that corporate sustainability reports contain statements that are not supported by accurate data.

Moreover, their interest in the impact of companies on the environment and society is also growing, 15% more than the previous year Last but not least, the lack of data makes it difficult, if not impossible, for companies to measure the impact of their actions and sustainability projects, with an impact in business (attracting talent, investments, etc.), not just at the image level.

Identifying all these problems, we have developed, together with one of the doctoral graduates in mathematics from MIT, our own calculation algorithm, which allows for greater accuracy than the estimates we can find on the market.

For this, we have built our own database, which integrates information about the emissions generated by each product, from different brands, from the production stage to commercialization. We complete this calculation with data collected from companies, about the duration and usage in the product’s life cycle within the organization.

4. What results have you recorded in the few months since the launch of the platform? Can you give us some names of companies and the impact of their actions on the environment?

We began developing our product based on feedback received from organizations we interviewed even before defining the final solution. This allowed us to collect useful insights about their problems and needs. However, we didn’t limit ourselves to just companies. The issue of e-waste cannot be solved without a holistic approach. Each party involved in a product’s lifecycle bears some responsibility.

We identified that, in the manufacturing and distribution stage, producers are not yet providing enough transparency regarding data that shows a product’s carbon footprint. We need this data to perform precise calculations and generate accurate results useful for sustainability reports. Continuing, existing databases (such as ADEME) offer a range of useful information, but even here, some of it is based on estimates. We continue to operate with a lot of approximate data and we believe it is also the role of legislation to impose more transparency and rigor in data transmission.

We have also expanded our study to the area of NGOs or partners (example: recyclers), as well as suppliers, thereby laying the foundations for what we want to be an ecosystem for the management of e-waste. In this ecosystem, we currently integrate actors from the corporate, non-profit, and public environments – who are usually the partners that take over electronic equipment to extend its life. At this moment, we have a pilot program – focused especially on laptop donations – in which companies from industries such as retail and banking participate, both from France and Romania.

On average, an organization that chooses to donate 100 laptops instead of sending them to the landfill can reduce its CO2 emissions by approximately 7,800 kg in the year of donation, and the calculation can also be extended to raw materials, water consumption, or the financial value of donations with an impact on the community.

For those interested in a personalized calculation, we invite them to www.toboro.io, where they can request such a report.

5. In your work, you also addressed the other side of sustainability, social responsibility, specifically diversity and inclusion (D&I). How is the Accessi+ project received by companies, through which you offer audits and solutions to improve the accessibility of website content for individuals with disabilities?

Web accessibility allows all individuals, not just those with disabilities, to navigate and interact with the internet. With the pandemic and the increased time spent online, this has become even more important. Fortunately, there is a legislative framework that ensures everyone’s equal access to information and communication technologies, which we can simply interpret as access to internet content.

These directives, as we know, are interpreted differently from one country to another. In France, for example, we already have an implementation methodology for the European standard EN301 549, which public institutions, public law entities, and companies with a turnover of over 250 million euros are required to follow. There is also a standard in Romania.

However, what motivates organizations to make their websites or mobile applications accessible is not just the fines for non-compliance, but also the opportunities they lose due to lack of accessibility: access to a larger customer base, the positive impact on CSR strategy, especially in the Diversity and Inclusion pillar, and even at the image level, showing care and empathy towards a disadvantaged population segment when it comes to navigating the internet.

6. You are preparing to enter the Romanian market. What are the expectations regarding the development of the two projects in the domestic business environment? What obstacles do you think you will encounter?

We are entrepreneurs, so we choose to have an optimistic approach. We believe it is very important for Romania to keep pace with global development and align with international standards. Even though progress is slower in certain sectors here than in other regions of the world, we observe a considerable openness from some organizations towards innovation, inclusion, and sustainability-related themes. Our businesses are based on a European and international legislative framework, which particularly helps us in discussions with organizations that are part of complex, international structures where sustainability is already integrated into the business strategy.

Locally, we already see a growing number of companies voluntarily making sustainability reports, as well as those engaging in actions with a positive impact on the environment and society. For us, this is an indicator that things are moving in a positive direction.

7. How do you see the role of technology in promoting sustainability?

I believe that technology is an important catalyst in promoting sustainability and provides us with tools that enable the measurement, analysis, and improvement of our impact on the environment. Therefore, we should transition to a stage where data accuracy, through traceability and transparency, becomes a reality. For instance, artificial intelligence and data analysis solutions allow us to more accurately assess carbon emissions and identify areas where we can reduce resource consumption.

Equally important is the fact that today, more than ever, technology plays a vital role in increasing public awareness and engagement. Online platforms and social networks enable us to disseminate information about sustainable practices and create a global community united around sustainability values. However, there is equally a risk of greenwashing when it comes to online platforms.

I am convinced that technology will be more than a facilitator and will enable us to address current climate challenges in smarter and more efficient ways.

„Good Day – Little Volunteer Day on Via Transilvanica!”: Training the new generation of volunteers

Volunteering in rural areas can have a significant impact on fostering behaviors that contribute to environmental protection and the development of a sense of unity within the community. Through the Good Day – Little Volunteer Day on Via Transilvanica” project, Tășuleasa Social Association, in partnership with Coca-Cola HBC Romania demonstrate that when key elements such as community, national projects, and strategic partnerships are coming together, the results translate into thriving and sustainable communities.

The project began as a Christmas philanthropic initiative for vulnerable children and evolved into a systemic intervention that combines actions for education and the promotion of environmental responsibility. Four key elements laid the foundation for this year’s edition: the communities along Via Transilvanica needed opportunities to connect, Via Transilvanica trail – the largest project that put Romania on the map as a top destination in ecotourism, with a continuous need for conservation, and a strong partnership with Coca-Cola HBC, whose commitment to creating a better world „After Us” became a common goal. In addition, data from studies confirmed the need for education and the creation of opportunities: 70% of teachers believe that rural schools do not equip students with the necessary knowledge to understand climate change and take individual measures.

The „Good Day – Little Volunteer Day on Via Transilvanica” took place over a period of 6 months of preparations and actions focused on three strategic steps:

SYSTEMIC PARTNERSHIPS: Over 100 educational units and 3 local authorities were invited to join the project and spread educational content in schools.

EDUCATION AND TRAINING OF VOLUNTEERS: Groups of VOLUNTEERS from Via Transilvanica were formed by selecting them from over 35 rural schools that later participated in environmental education sessions.

ACTION AND CELEBRATION: The largest simultaneous clean-up action took place in 110 localities along the Via Transilvanica route in the counties of Mureș, Suceava, and Bistrița. Over 1000 km of the route were cleaned with the help of 3000 volunteers.

The results of 2023 confirmed once again that the power of systemic partnerships can contribute to shaping the new generation of environmental volunteers in rural areas: 3000 volunteers, 3 counties, over 1000 km cleaned, 25,000 kg of waste collected, 2 landfills eliminated; 260,000 indirect beneficiaries.

Good Day – Little Volunteer Day on Via Transilvanica was awarded with the Gold Award for Excellence in the Environmental Communication category and the Silver Award for Excellence in the CSR category, at the PR Awards 2023 Gala.

Via Transilvanica, the project of the Tășuleasa Social Association initiated in 2018, represents a 1,400 km tourist and pilgrimage route that starts from Bucovina, from Putna, crosses Transylvania and ends at Drobeta-Turnu Severin. The aim of the project is to highlight the cultural-historical and natural riches of Romania, both at national and international level.

Via Transilvanica passes through ten counties, areas of great cultural, historical, and natural importance, being at the same time a real catalyst for the cultures that have coexisted for centuries in our country.

The Azores has launched Community Index Magazine 2023, a yearbook now in its fifth edition, the most important bilingual publication dedicated to the field of CSR in Romania

>>> Community Index Magazine is the only Romanian-English bilingual publication in Romania dedicated to the field of CSR, available in both flip view and print formats. The yearbook includes the results of the Community Index 2023 ranking, exclusive national and international interviews, case studies and sustainability articles.

>>> Readers can enjoy exclusive articles and interviews that highlight the perspectives of recognized leaders from BCR, University of Wisconsin, Kaufland Romania, The Slow Movement or Seeds of Wisdom.

>>> The publication promotes and encourages the adoption of the UN Sustainable Development Goals to support Romania in its efforts to implement the 2030 Agenda.

Community Index Magazine: a source of quality know-how for any professional with a sustainable mindset

The bilingual Community Index Magazine yearbook, now in its fifth edition, contains the results of the Community Index 2023 ranking, exclusive interviews with renowned international professionals, articles and interviews with local professionals in the fields of sustainability and CSR, and numerous case studies of some companies that are considered benchmarks for their community projects.

The publication is particularly useful not only for professionals in the field but also for companies, CEOs, Marketing professionals, community members, NGOs, universities, PR agencies and authorities.

The publication in flip view format is available for free at the following link: https://communityindex.ro/community-index-magazine-2023/

What type of content do readers find in Community Index Magazine?

1. Exclusive interviews with globally recognized sustainability experts:

  • Riane Eisler, The Real Wealth of Nations
  • Wakanyi Hoffman, Seeds of Wisdom
  • Jessica Leclair, University of Wisconsin–Madison School of Nursing
  • Carl Honoré, The Slow Movement

2. Articles and interviews with nationally recognized professionals:

  • Ilinka Kajgana, BCR
  • Katharina Scheidereiter, Kaufland Romania
  • Gabriel Ivan, CHEP
  • Adina Teleucă, TOBORO

3. National and international case studies:

  • “Good Day – Little Volunteer Day on Via Transilvanica!”, Coca-Cola HBC Romania & Tășuleasa Social Association
  • The Giant T-shirt, Kaufland Romania & 11even Association
  • Phasing out plastic, Apple
  • The Money School, BCR, FabLab & Edupedu Association
  • Personal Sustainability Program (PSP), Auchan Romania
  • Our Garden, Carrefour Romania
  • Life Savers Program, Groupama Romania & The Foundation for SMURD
  • Kokoro Sports Project
  • Jobs for veterans, Starbucks
  • Microsoft’s New BING

What is Community Index?

Community Index is the first and only ranking of programs and projects carried out by companies in Romania to invest in communities, launched in 2019. The ranking is the largest database of CSR projects in Romania and represents a useful analysis tool for companies, authorities and communities when making investment decisions.

It is a component of the ranking Romania CST Index (previously Romania CSR Index), the most important analysis of the level of performance and transparency from the perspective of corporate sustainability, in our country, launched in 2016.

There is a wide variety of initiatives and projects on the market, and a well-structured overview provides relevant information to help decision-makers create a strategy well adapted to the local and national context.

In order to establish the projects that were included in the Community Index 2023, more than 800 initiatives, projects or programs that took place in Romania between January 2022 and December 2023 were analyzed. The scorecard on the basis of which the evaluation was made had, in total, 6 categories and 46 indicators aligned with the most important international standards or references in the field of investments in communities.

What new findings did the 2023 analysis reveal?

The investment and donation market in support of communities has grown in recent years and amounts to over 80 million euros annually, mainly for Education projects for students (9.4%, a slight increase of 1% compared to 2022), Health (6%, down from last year) or Disadvantaged environments (23%, up 5% from 2022). Another area of interest for companies is Art/Culture, 10% of projects being developed in this direction, increasing compared to 9.2% in 2022. However, 4% of the projects carried out by companies in Romania are intended to combat Climate change, decreasing by 1% versus 2022, and 1.5% of the projects are in the direction of Sustainable cities, down from 4.4% in 2022.

Among the main trends highlighted following the analysis, we mention an increase in the level of transparency regarding the results and impact of CSR projects or programs. Also, companies are beginning to better align the Sustainability / CSR strategy with the specifics of the industry and the business strategy. As for the employees, they are more eager to help communities and appreciate companies that offer them the opportunity to volunteer for projects. Another observed trend is the fact that there is an increased interest in long-term goals: companies put more emphasis on generating impact over several years and avoid creating a dependency of the community – they focus on developing skills or an infrastructure that will remain in the community even after a company redirects its investment to other projects.

Among the projects that obtained Gold Recognition, we mention the Lifelab Educational Project developed by BCR, FabLab & Edupedu Association, in the Financial Education category – by participating in this program, students learn financial education concepts and practice planning and teamwork. In the Employee Involvement category, Auchan’s Personal Sustainability Program (PSP) was built as an effort to mobilize employees to get actively involved in projects supporting local communities. In the Reduce, Reuse, Recycle category – Banca Transilvania and Ateliere Fără Frontiere developed the Remesh project and fight for the social and professional insertion of vulnerable and marginalized people. Together in the Service of Good, a project developed by Secom Healthcare Group through which several initiatives in the field of health were supported, also received Gold Recognition in the Health category.

The year 2023 comes with a new Community Index distinction: for each individual category, we propose The One to Watch distinction – a special recognition to highlight the originality and innovation of projects that set an important trend for the coming years, in their field. Among the projects mentioned in this category were YOXO Forest – The first digital forest that became a reality, 100 business ideas for Romania – PENNY Romania or Self-confidence is learned in school – Oxygen.

Where are the ranking results published?

The 2023 results can be found both in the flip view and print Community Index Magazine yearbook, as well as online: https://communityindex.ro/rezultate-community-index-2023/

What are the objectives of the Community Index ranking?

The mission of the Community Index is to highlight CSR projects with high performance that place more emphasis on aspects such as dialogue with stakeholders, project sustainability and measurement of medium and long-term impact. In addition, the index aims to highlight those projects that can be considered Best Practices in their category and that can be used as an example in establishing the strategy of a new project.

The Community Index Magazine yearbook is the contribution of The Azores Sustainability & CSR Services agency to the development of the field of Community investments in Romania.

In addition to know-how and authentic content, this publication concretely contributes to the popularization of the concept of sustainability in the business environment: a part of the printed yearbooks will be offered, free of charge, to companies with over 500 employees (>750 companies). In addition, the flip view version will be available for free, to popularize the domain and contribute to its development.

FSC® certified paper from sustainable sources was used for printing the publication. The yearbook provides both valuable information and an authentic visual experience in itself. The cover of the publication is created by Ovidiu Solcan (collage artist), being a sustainable collage from recycled magazines, representing the Masterpiece “The Kiss”, made by the sculptor Constantin Brâncuși in 1907.

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About The Azores Sustainability & CSR Services

Consulting agency, established in 2013, with the aim of supporting Romanian companies regarding the integration of corporate sustainability in the business strategy, The Azores Sustainability & CSR Services has an approach focused on long-term results, the use of IT technology for a high level of accuracy of sustainability indicators and analysis/research to support decision-makers in companies in defining the corporate sustainability strategy.

The most important and complex project of the agency is Romania CST Index, previously called Romania CSR Index, a ranking launched in 2016 and which is the only one in Romania that evaluates the sustainability indicators of companies: information on sustainability management, economic, environmental and social impact. The index is launched every year during the Best Practices in Corporate Sustainability conference. The results together with Sustainability Profiles of Romanian companies are presented every year in Sustainability Index Magazine, a bilingual yearbook dedicated to sustainability & ESG in Romania.

In 2019, the agency launched Community Indexthe most comprehensive ranking of corporate investment projects in communities and a centralizer of the best CSR campaigns carried out every year by Romanian companies.  The results of the ranking, together with case studies and interviews of national and international experts, are presented every year in Community Index Magazine, the only bilingual yearbook dedicated to investments in communities carried out by Romanian companies.

A sustainable manifesto for The Slow Movement

A sustainable manifesto for The Slow Movement

Living too fast can turn life into a blur, but Carl Honoré is here to wake us up. Carl is a bestselling author, TED speaker, broadcaster and the global voice of the Slow Movement. He travels the world to deliver powerful keynotes that put time and tempo in a whole new light. By using stories and research from across the globe, Carl teaches us how to unleash “the inner tortoise”. His book, “In Praise of Slow”, chronicles the international trend towards putting on the brakes in everything we do – from work to relationships, travel, food or parenting.

Slowness is key to sustainability. It means being conscious, present, responsible, and putting quality before quantity. In order to thrive in a fast world, we have to slow down. Discover how by reading Carl’s insights in this exclusive interview for Community Index Magazine!

The interview was initially published in the bilingual yearbook Community Index Magazine no. 5. You can flip through it here: https://communityindex.ro/community-index-magazine-2023/

1.You’re the internationally acclaimed voice of the Slow Movement. It seems we need to slow down if we want to age well. What is it about slowness that turns it into a superpower?

When you get stuck in fast forward, when every moment of your life is a race against the clock, you pay a heavy price. You wear out your body and mind. You struggle to think, work, and enjoy the moment. Your creativity falls off a cliff. You make more mistakes and are less efficient. You make bad decisions. Your relationships suffer. Slowing down to the right speed makes you calmer, healthier, happier, more focused, more accurate, more efficient and productive, more creative, and more present. You start living your life instead of racing through it.

2.In a world of busyness, speed and living life on fast-forward, what are the biggest gains of slowing down? What is the connection to sustainable living? Do you find that individuals are ready and willing to get in tune with taking it slow or is it hard to cut through the noise and expand the slow movement?

When you live “slow”, you tread more lightly on the planet. You consume less and more wisely. You stop obsessing about your to-do lists. That is when you truly start contemplating the big picture and thinking long-term. I noticed that most people yearn to slow down, but many find it hard. Because of the powerful taboo against slowness, even just thinking about slowing down makes us feel afraid, guilty or ashamed. Speed is often an instrument of denial, a way of avoiding deeper problems or being alone with ourselves. Rather than facing up to what is going wrong in our lives, we find it easier to speed up, to lose ourselves in busyness, to focus on the trivial stuff. Living a fast life is, often, a way of running away from yourself!

3.You believe that “ageism is a self-fulfilling prophecy”. What made you decide to start championing and celebrating the advantages of growing old?

For me, it all started with discovering that I was the oldest player at a hockey tournament! It may sound trivial, I know, but it sure didn’t feel that way! Picture the scene: I was 48 at the time! I had just propelled my team into the semi-finals by scoring a dramatic goal. I was walking on air! Then came the news, straight from a tournament official.

He told me: “Mate, there are 240 players here, and you’re older than every one of them!” In the blink of an eye, I went from goal scorer to grandad. Even though I’d been playing well and having fun, the questions crowded in: “Do I look out of place here? Are people laughing at me? Should I take up a more age-appropriate pastime? Bingo, perhaps?”

My wobble got me thinking about how we are all in thrall to the cult of youth. To the idea that younger is always better and that ageing is a terrible and shameful thing. Once I opened my eyes and began doing some research, I realized that there is a much better story to tell about growing older – and I wanted to share that with the world!

4.How can we escape the cult of youth and become free to enjoy whatever phase of life we are in?

First, check your language. Stop using phrases like “senior moment”, “showing my age” or “the wrong side of 40” that reinforce the idea that ageing is all about decline. Second, be honest. Lying about your age gives the number a power it does not deserve. It locks you into the old ageist script. Being honest about how old you are and owning your age lets you define what your life will be at every stage. To embrace ageing as an adventure rather than an affliction, a process of opening, rather than closing doors. Third, find inspiring role models for ageing, on social media or beyond. Fourth, join multigenerational groups with people older than you. Befriending older people is a great way to build a more optimistic view of what the future holds for you.

5.What would be the top three steps anyone can take in order to set free “the inner tortoise” and cultivate a more meaningful and conscious lifestyle that’s in line with what they value most in life?

Do less. Buy less. Consume less. Drive less. Unplug more. Walk more. Listen more. Sleep more. Stop multitasking and do one thing at a time. Embed slow moments and rituals into your schedule. Embrace your inner tortoise!

Riane Eisler: A Caring Economy based on Partnerism

Riane Eisler: A Caring Economy based on Partnerism

Riane Eisler is a walking story. A social systems scientist, cultural historian, and futurist, whose research, writing, and speaking and groundbreaking contributions have transformed the lives of many worldwide. Riane is the recipient of many honours, such as the Distinguished Peace Leadership Award earlier given to the Dalai Lama, and is included in the Great Peacemakers books as one of 20 leaders for world peace, along with Mahatma Gandhi, Mother Teresa, and Martin Luther King.

She is the author of many books, including “The Chalice and the Blade”, “The Real Wealth of Nations”, and “Nurturing Our Humanity”, which focus on her innovative whole-systems research that offers new perspectives and practical tools for constructing a less violent, more egalitarian, gender-balanced, and sustainable future. Riane is the President of the Center for Partnership Systems, which provides practical applications of her work, and editor-in-chief of the online Interdisciplinary Journal of Partnership Studies published at the University of Minnesota.

In this exclusive interview for Community Index Magazine, Riane discusses the key role women play in a nation’s quality of life and the economic value of caring for people and for nature.

1.Your work and books, including the internationally acclaimed “The Real Wealth of Nations”, have inspired and transformed the lives of many worldwide. You are championing the “Partnership System”, focused on building a more equitable, sustainable, and less violent world based on Partnership rather than Domination. Can you briefly describe what this concept means and why domination systems are “trauma factories”?

We are all familiar with domination in our own lives: top-down relations backed up by fear of pain, whether it’s physical, economic, or emotional pain. What we may not yet be familiar with is the family, social, and economic configuration of systems based on domination, or that this configuration heavily depends on what is internalized by us as normal, even divinely ordained, in our intimate family and gender relations.

Our conventional social categories such as right/left, religious/secular, Eastern/Western, capitalist/socialist (all of which we inherited from times when domination in families, economics, and all social institutions was generally accepted) do not let us see this configuration. Nor do they make it possible to see that there is an alternative to domination-oriented societies: the partnership configuration.

Only as we start connecting the dots, which requires including the majority of humanity – women and children – and the millennia of our prehistory, does all this become evident. Why? To begin with, neuroscience shows that what happens in children’s first five years impacts nothing less than how our brains develop, and with this how we think, feel, and act – including how we vote. This means that the nature of family relations, which are marginalized in conventional social studies and categories, are key elements of the interactive, mutually supporting configurations of either a partnership or domination-oriented system.

Our siloed, fragmented education makes it hard to see all this, so it is easier to understand it from a visual that shows these contrasting configurations.

All of which takes me to your second question: why domination systems are trauma factories? Through the lens of the partnership/domination social scale, we see that traumas start in domination-oriented families. These are families that are authoritarian and highly punitive, where male dominance is the ideal norm. Consider that Putin enacted a new law that lowered the penalty for family violence in Russia so that if you hurt or kill a child or other member of your family your penalty is lower than if you hurt or kill a stranger! Putin recognized the connection between families that use violence or the threat of violence as a means of control and a state that does the same. These are not coincidences, they are patterns!

Other institutions in domination-oriented systems also create trauma. For example, physical punishment of children in schools, such as caning, used to be the norm in the West and still is in much of our world, including some southern US states. This causes trauma, as does domination, top-down economics, which create artificial scarcities for most of the population – not to speak of the waste and destruction of resources through war and the failure to adequately support the “women’s work” of caring for children.

2.Gender equality is a key component of the partnership configuration. What alternatives are out there to injustice, cruelty and suffering?

In much of the West, in Canada, Europe, and the US, as well as in bits and pieces all over the world, there is a growing recognition of the importance of how the roles and relations of females and males (and everyone in between) are socially constructed. This recognition is basic to my research, which deviates from earlier methods that marginalize or leave out women and children. What my multidisciplinary, cross-cultural, trans-historical research shows is that how gender roles and relations are constructed is not, as we are still often told, “just a women’s issue” – in other words, a secondary matter. Actually, this is a key family, economic, and social organizing principle. So if we are to successfully build a future that is more just, sustainable, and humane, we must pay special attention to gender!

If we look around us, this is evident. In fact, those today trying to push us back to more rigid domination times pay special attention to gender, whether they are religious or secular, Eastern or Western, and so on. Consider religious societies like the Eastern Muslim Taliban or the Western Christian fundamentalists, where the subordination of women is clearly visible. Consider both fascist Hitler’s Germany and socialist Stalin’s USSR, where women and the “feminine” were culturally subordinated. Consider that these are all domination systems characterized by dehumanizing out-groups, whether “infidels” or Jews or people of colour.

The reality is that rigid male-superior, female-inferior gender stereotypes equate difference with dominating or being dominated, with being served or serving. This ranking of male and “masculine” over female and what is viewed as “feminine” is a template for in-group versus out-group thinking, and with it, as we see all around us, dehumanization and violence.

3.Based on your work findings, the Nordic nations seem to be more oriented towards a partnership system. How can a country like Romania bridge the gap between the willingness to implement the partnership framework and the reality on-site?

Yes, Nordic nations have more caring policies because they do not subscribe to the dominator norm of devaluing women and caring, which in domination systems is labelled feminine, whether in women or what are considered “effeminate” or “girlie” men. Romania has people who recognize that cultural systems and the values they normalize are human creations, and therefore can – and have been – changed.

Perhaps one way Romanians who want to move to a more just and sustainable world can start is by exposing that what we have been taught about our past is false.

”In reality, Balkan countries like Romania have a long prehistory of orienting more to the partnership rather than the domination side of the partnership-domination social scale.

This means spreading findings from archaeology, mythology, and even recent DNA studies, about our Western partnership prehistory. You can find much of that information in books such as “The Chalice and the Blade: Our History, Our Future”, now in 56 US printing and about 30 foreign editions. It is not yet published in Romania, though when it was recently republished in Spain, there were interviews and stories about it in all the major Spanish media.

4.How do you define the Caring Economy and what are the steps towards nurturing and caring for our planet and all the living systems on it?

As you noted, my book “The Real Wealth of Nations” details not only the problems with current economic operating systems, whether capitalist or socialist, but also proposes a caring economics of Partnerism.

Consider that both capitalism and socialism came out of early industrial times in the seventies and eighteen hundred – and we are today in the 21st century post-industrial knowledge-service age. So our current economic operating systems would be antiquated on that count alone. But the problem is deeper: both the “fathers” of capitalism and socialism perpetuated a gendered system of values: a system in which caring is coded “feminine” and hence out of bounds for the “real men” in charge. There is nothing in Smith’s or Marx’s writings about caring for nature, which both viewed as only there to be exploited. As for caring for people – for children, the sick, the elderly, for everyone – for both men and their economic theories, this work was to be done for free by a woman in a male-controlled household. Even in the mid eighteen hundreds, when Marx wrote, a wife could not sue for injuries negligently inflicted on her; only her husband could, for loss of her services! Not surprisingly both Marx and Smith called caring for people, starting at birth, and caring for nature, just “reproductive” rather than “productive” work – which is still taught in business and economics schools.

 It is also reflected in currently used metrics like GNP and GDP, where, for example, trees on which we depend to breathe, are only included when they are dead: as logs. Not only that, the work of care in households has only recently been valued through government policies like paid parental leave, pioneered by Nordic nations, and it is still available only in a few US states, rather than nationally, This devaluation of care work continues worldwide, even though a recent Australian study showed that if the unpaid work of care in households, still primarily performed by women for free, were included, it would be 50 per cent of the reported Australian GDP!

”So the first step is recognizing this fundamental problem. We need new metrics that show the enormous economic value of caring for people, starting at birth, and caring for our natural environment. Women and children are the mass of the world’s poor and the poorest of the poor, so shifting to a caring economics of partnerism that adequately rewards care work is essential if we are to reduce poverty.

So the first step is recognizing this fundamental problem. We need new metrics that show the enormous economic value of caring for people, starting at birth, and caring for our natural environment. Women and children are the mass of the world’s poor and the poorest of the poor, so shifting to a caring economics of partnerism that adequately rewards care work is essential if we are to reduce poverty.

It all starts with changes in consciousness. Let’s remember that all our gains in shifting from domination to partnership, from abolishing child labour and women getting the vote to even the idea that there is such a thing as human rights and that these must also be applied to protect the majority of humanity (women and children), all these gains were due to a small, in their time unpopular, dedicated group of women and men who were persistent and did not give up. We can each make a difference!

The interview was initially published in the bilingual yearbook Community Index Magazine no. 5. You can flip through it here: https://communityindex.ro/community-index-magazine-2023/

Katharina Scheidereiter, CSR Manager Kaufland Romania: We are interested that the message of a project reaches as large an audience as possible

Interview with Katharina Scheidereiter, CSR Manager Kaufland Romania:

Highlight: “We are interested that the message of a project reaches as large an audience as possible. It is important both for the NGO, which gains visibility, new opportunities, new volunteers, other sources of funding, but also for us, because community investments are a main pillar in the company’s corporate communication strategy, through which we aim to promote best practices in the market, increase reputation or attract new talents.

1.What is the company’s current CSR strategy and how has it changed since you started?

Active involvement in the communities in which we do business has always been a priority for us, and our commitment has intensified as we have evolved. During 2022, we have strengthened the support given to the five strategic directions of community investments, focusing on projects aimed at education, environmental protection, social issues, sports and health, as well as promoting culture.

We particularly pursue large-scale projects with long-term impact, as well as innovative initiatives, united by a common goal: improving the quality of life in the community. We also quickly adapt to exceptional situations, such as the COVID19 pandemic or the war in Ukraine, and intervene according to needs. The most powerful example for adaptation is the In Stare sa Ajut call for projects, developed within the In Stare de Bine financing platform, which later became a permanent component and now functions as a funding mechanism for projects addressing pressing societal issues, such as consumption of drugs in adolescents.

In Stare de Bine is our annual NGO funding program. In the last 5 years, we have awarded non-refundable grants totalling 1,000,000 euros annually to winning projects and I am glad that, in 2023, we have allocated a budget of 1,200,000 euros.

2.Who are the stakeholders involved and how do you take their input into account?

For social responsibility projects, we collaborate exclusively with non-governmental organizations, with whom we develop and establish the forms of intervention or the appropriate ways of involvement.

Moreover, we consider that the non-profit environment is one of the essential stakeholders for CSR activity. At the same time, we annually ask our clients which social responsibility or sustainability topics are of particular interest to them in relation to the company’s activity, and then we integrate the results into our strategy. Every time we aim to always have a top 3 relevant themes in our action plan and in our communication.

3.Lately, there is a lot of talk about Impact Investing. Are there projects where you have this approach?

Regardless of the terms used, we at Kaufland have always aimed for the investments made to bring added value for the environment, people and society in the long term. As proof, for 5 years we have ranked first in the top of transparent and performing companies in the direction of sustainability at the national level, recognition offered by CST Index.

Moreover, 5 independent market studies, carried out by professional agencies, place us in the top of the companies that carry out sustainability projects at the level of the general public’s perception. This makes us happy but also makes us responsible to continue in this direction.

Whether it’s installing solar panels or green roofs on our stores, planting a network of urban mini-forests or developing measures to reduce food waste, our investments always aim for a consistent impact.

4.How do you measure the success of a program or project?

We have several indicators that we track both on the implementation side of community investment projects and for their visibility. From the pre-funding stage, we ask organizations to detail the identified need, the number of targeted beneficiaries and their geographical area, as well as the project continuation plan at the end of our funding.

We are interested in seeing that the organization has the capacity to implement the project and that the proposed objectives are realistic. And then in the reporting stage we look at the post-implementation data and see if there are notable differences and why these differences occurred, positive or negative.

For us, the greatest success is when the financed project manages to become financially independent, as is the case of „Sol și Suflet”, the first farm with regenerative agriculture in Romania and an educational center for future farmers, which in three years after the launch managed to support itself from its economic activity.

And at the communication level, we are interested that the message of a project reaches as large an audience as possible. It is important both for the NGO, which gains visibility, new opportunities, new volunteers, other sources of funding, but also for us, because community investments are a main pillar in the company’s corporate communication strategy, through which we aim to promote best practices in the market, increase reputation or attract new talents.

5.Do you have examples of communities that you have helped to develop over time, independent of the support offered at the beginning?

 We have strategic partnerships with non-governmental organizations with whom we have undertaken long-term interventions because change takes time. For example, in partnership with „Hope and Homes for Children” we have already built 5 family-type houses, and this translates into a home for over 100 children from the social protection system.

Another relevant example is in the area of the environment, which for us is a priority area, and where we intervene on several levels: firstly we are interested in the elimination of waste from nature and for this we have numerous greening actions with volunteers throughout the country.

Secondly, we make sure that we offer citizens the opportunity to develop responsible behaviors such as collecting recyclable containers at the separate collection machines in our stores, and we complement it with numerous education and awareness campaigns about the importance of environmental protection, aimed especially at the little ones.

The interview was initially published in the bilingual yearbook Community Index Magazine no. 5. You can flip through it here: https://communityindex.ro/community-index-magazine-2023/

Case Study Auchan Romania: Personal Sustainability Program (PSP)

Case Study Auchan Romania: Personal Sustainability Program (PSP)

Project strategy

Built in the form of an effort to mobilize employees to get actively involved in projects supporting local communities, the PSP program aims to become a source of inspiration for Auchan store customers as well, thus contributing to supporting social causes, as well as reducing the effects caused by climate problems, food waste and the excessive use of plastic.

Objectives

The Personal Sustainability Program (PSP) was launched by Auchan Romania in 2020 as the first action under the #nuepreatârziu umbrella and offers all its more than 7,000 employees the opportunity to get involved in various sustainability and social responsibility actions.

PSP program supports 4 causes:

Environmental Protection

Healthy food

Social solidarity

Food solidarity

PSP was created out of the desire to highlight the responsible actions already carried out by Auchan employees, both in their personal lives and through involvement in the company’s projects, over the years. Following their mobilization, we decided that this internal program can become a source of collective transformation for a more sustainable future and inspiration for our customers as well.

Business Alignment

The project involves encouraging the development of social and sustainability activities or participating in those organized by the company. Auchan supports the principle of volunteering and makes available to employees various actions in which they can participate and carry out “CSR Days”, as they are called internally.

At the same time, for customers, Auchan distributes informative materials in the digital space about tips and tricks for managing leftover food; healthy recipes and information about organic, sustainable or local products. The company also encourages customers and employees to participate in the CSR and sustainability actions and campaigns that they organize, such as Food Day, blood donation actions in stores and in the headquarters, planting or various commercial campaigns.

Statistics

Human activity generates effects on nature and these can be seen more and more in recent decades and include the degradation of agricultural land, air pollution, water contamination and climate change.

According to the National Footprint and Biocapacity Accounts (NFA) and the UN, humanity currently uses 75% more than what the planet’s ecosystems can regenerate. Thus, Auchan Romania aims to fight to limit these effects. That is why, in 2022, most of the PSP actions carried out at local and national level had as their main goal the reduction of carbon emissions and the protection of the environment.

According to World Bank, 2018, 4 out of 10 children in Romania come from poor families. Auchan fights to reduce social inequalities and reduce poverty. Through the PSP project, Auchan supports the programs of the Habitat for Humanity Association through which children and their families are supported in the fight against poverty, by building them decent homes in Berceni commune in Prahova County. Each additional year of schooling lowers the risk of poverty. In 2020, within PSP, colleagues from the Central Services and stores voluntarily participated in the construction of humanitarian houses, thus realizing „CSR days” and supporting the noble goal of the project.

 Impact and Results

 We quantify monthly the responsible actions that Auchan employees record, in the form of “CSR days” after carrying out activities, and we also keep track of colleagues who have been involved in donation actions, volunteering, blood donation, greening, etc. We are happy to see that last year we recorded 6,450 “CSR days” carried out by Auchan employees all over the country, and more than half of them participated in sustainability and social responsibility actions.

Communicating the Project

The Personal Sustainability Program benefited from extensive communication on all Auchan communication channels, both externally (on www.auchan.ro and the Facebook & LinkedIn pages) and internally, on the intranet portal, the employees’ internal Facebook page, email directly, posters in stores and headquarters.

The employees were very excited about the new project and enthusiastically participated in the PSP actions, as evidenced by the 6,450 CSR days accumulated during the past year.

Digitalisation is a Clear Enabler for The Green Transformation of Our Society

Digitalisation is a Clear Enabler for The Green Transformation of Our Society

Ilinka Kajgana is an innovative and engaging risk leader whose 17 years of international work experience in large and complex banking organizations has delivered outstanding results. Her deep technical expertise across modelling and data, complex products and refined risk sensitivities is complemented by her consistent ability to partner with the business environment to drive risk-controlled growth.

In her current role as Chief Risk Officer for BCR, she has transformed the bank’s status and performance, obtaining a “low risk” rating following an ECB Supervisory Review and Evaluation Process. She also spearheaded innovation through the launch of a fully-fledged ESG transformation programme, central to business strategy.

The interview was initially published in the bilingual yearbook Community Index Magazine no. 5. You can flip through it here: https://communityindex.ro/community-index-magazine-2023/

  1. What impact has sustainability had on your strategic planning in the last year?

Sustainability is one of the main pillars of our company strategy, not only in the last year but also in the years to come. It marks everything we do: from the way we evaluate risk to the way we train our people, from the way we look at the development opportunities ahead to the way we operate in our offices.

On a very concrete level, 100% of the cards issued by BCR from January 2023 onwards, for private individual and corporate customers, are made of environmentally friendly materials, both recycled plastic and biodegradable material. BCR started issuing environmentally friendly cards as early as 2021, and so far about 50% of the portfolio is issued on sustainable material. Also, the green mortgage loan ’Casa Mea, NaturA’ accounted for about 44% of the total standard mortgage volumes disbursed by BCR in H1 2023. The loan is granted for buildings with an A energy certificate or for the greenhouses certified by the Romanian Green Building Council.

We continued the roundtables series on the ESG transformation of the Romanian companies, organized by BCR in partnership with ECOTECA Association, with the involvement of institutional representatives, entrepreneurs and ESG experts. In March, together with the Academy of Economic Studies in Bucharest, we developed the topic of “Establishing and measuring ESG indicators”, and in June, together with EFdeN, we discussed about „Energy efficiency in buildings: best practices and challenges.

2. What ESG actions does BCR take today to help future generations meet their needs?

 All our programs that are dedicated to future generations have one common denominator: education.

We have an integrated approach towards green education and digital education since we believe that digital transformation is a clear enabler for the green transformation of our society. Therefore, 66,000 Romanians participated in a Money School class, with a 50% increase in active users on Money School Platform.

We also have a partnership with NextLab Tech, the most important digital competition from South-Eastern Europe, where more than 60.000 children developed their skills for the future. Also, we have an integrated approach towards financial education and green education.

This is the underlying philosophy of our programmes: on one hand, the integration of digital and green education, on the other hand, the integration of financial and green education. Besides, we try to give young people a better understanding of what a job means today. Apart from our ongoing programmes of internships and career workshops, BCR has a strategic partnership with Joblandia, the innovative solution in education that matches highschool students and companies for a practical experience during “Saptamana Altfel” (The Alternative Education Week). In 2023, more than 3000 teenagers were enrolled in this programme, powered by BCR.

3. The fight against climate change has become pivotal for any responsible company. How does it affect your company and how do you fight to reduce its negative impact?

In the medium term, climate change will have a more significant impact on some economic segments such as agriculture, energy, construction, and possibly tourism. Our role is to support our clients from these segments into adapting their strategies for the future, to find alternatives and to invest in sustainability.

On the bright side, the recent pandemic produced an acceleration of the transition towards sustainability: hybrid work has significantly reduced the carbon footprint of the companies and has created a deeper sense of awareness towards the impact of global challenges. However, change has to be created person by person. In BCR, we have a ongoing training module about ESG that is mandatory for all our colleagues.

We have observed that no matter which generation colleagues are -Gen Z, Millenials, Gen X- they are very eager to enrol into saving resources while embracing a more environmentally-friendly routine. There is a long journey in front of us but at least there are more people who are seeing the importance of this road and who are trying to create a sensible map.

4. Banks can have a huge influence when choosing their ESG criteria for giving loans. What are BCR’s steps in this direction?

We try to position ourselves as a committed companion of our clients in their journey towards sustainability and ESG transformation. We believe that ESG is not only about compliance and ticking some boxes with the Environment, Social and Governance labels. It is about changing profoundly the way of doing business as a company.

Therefore, our role is to actively support our clients in their process of getting access to green finance. We are all in a process of learning, therefore being transparent and open is of critical importance for transitioning towards an ESG society.

We try to explain to our clients that sustainability is the most important investment: it means care for future generations and for the planet we leave to our children. On a more pragmatic note, getting access to green finance creates real business opportunities while staying relevant in the international value chain.

5. In May 2023 you had your first green Eurobond bank transaction. What were your aims with this issuance?

BCR’s green bond issue was a first on the Romanian financial-banking market, being the largest corporate bond issuance in Romania.

The bond issue proved successful from the outset, as the order book registered a significant volume of EUR 1.9 billion, well above the minimum issue size of EUR 500 million. This increased the issued amount to EUR 700 million. The final volume reflects our commitment to the market in terms of future issuance plans and our aim of building a relationship of trust with our investors.

It is also a signal of trust in the potential of the green economy of our region. A signal of trust for a greener future.

6. How about your social impact, where do you stand and what are your latest achievements?

Let us review some clear benchmarks because I believe that, in sustainability, it is important to walk the talk. In 2022, the social impact of the BCR Group (the banking services for NGO-s and social enterprises) generated the following impact: 290.000 beneficiaries from vulnerable categories, 1800 jobs supported or created (including jobs for vulnerable persons), 2.5 million Euros for developing associations and social enterprises, 127 NGO-s included in training or acceleration programmes, 900 NGO-s enrolled in The Good Exchange (Bursa Binelui), the only donor platform without commission. Besides, at InnovX-BCR, we accelerated 32 start-ups so that the local tech business got access to 19,7 million euros.

I should add that more than 21000 local entrepreneurs had free access to entrepreneurial education on the platform Școala de Business (School of Business).

Not in the least, we have 5000 employees – they are the engines that will really move Romania towards sustainability.

Ilinka Kajgana’s Biography

Since joining the Erste Bank Group in 2006, Ilinka has taken on and executed strategic projects for the business, including Operational risk, Capital Adequacy, AMA and other priorities for both the group and its international network of savings banks (Sparkassen). As a member or chair of the supervisory board, or board of directors for a number of entities over the past five years, she has helped guide the strategic direction of the group and put in place frameworks, policies, processes and controls to optimize clarity and efficiency, as well as mitigate risk.

She adopts new technology and uses agile methodologies to transform businesses, aligning them to the evolving needs of our clients and an increasingly complex international regulatory environment. Her scientific background, Master’s and PhD, have all honed her problem-solving and analytical skills. Building trusted relationships with key stakeholders in large and complex organizations has been a key facet of her success, and is complemented by an ability to engage with the regulator, clients, partners and suppliers.