As part of its ongoing commitment to environmental, societal, and governance (ESG) principles

 

 

• Al Amir: We are eager to meet customers’ and investors’ needs and provide services of long-term value.
• Gulf Bank was quick to contribute to the Central Bank of Kuwait’s KD 10 million fund to combat the spread of the pandemic, and supported frontline workers.
• Gulf Bank’s training courses for employees increased by 26% last year and included 1800 employees from different departments.
• Gulf Bank continues to support the rights of women, youth and people with special needs. It should be noted that the employment of recent graduates has witnessed an increase of 57.5%.
• The “Kuwaitization” of jobs reached 75.3% Bank-wide, and 53.2% in senior management.
• Gulf Bank celebrated a 23% increase in the number of followers across various social media platforms last year.
• The percentage of active customers on Gulf Bank’s mobile app is estimated at 44% compared to 55% for the website.
• As part of Gulf Bank’s efforts to preserve the environment, the Bank has reduced carbon dioxide emissions by 41 metric tons.
• Gulf Bank has reduced paper waste by 1 million papers, water consumption by 107,000 gallons, and energy by 37,220 kWh.

 

As part of its ongoing commitment to sustainability, and in accordance with global standards and guidelines to enhance transparency and disclosure related to key environmental, societal and governance (ESG) principles, Gulf Bank has launched its first Sustainability Report. The report was issued in keeping with the Global Reporting Initiative (GRI) principles, the Kuwait stock exchange's sustainability disclosure guide, the United Nation Sustainable Development Goals (SDGs), Kuwait Vision 2035, and Gulf Bank’s 2025 Strategy.

 

During a presentation of the most important highlights of the 2020 Sustainability Report, Gulf Bank’s Deputy General Manager of Corporate Communications at Gulf Bank, Ahmad Al-Amir, commented: “At Gulf Bank, we recognize the importance of our role and our active contribution to establishing a more sustainable society by adopting responsible practices with a proactive and sustainable approach, in addition to demonstrating effective leadership and governance. As part of our plan, we are actively providing enhanced financial and banking services, and innovative digital solutions, as well as ensuring more talent acquisition, empowerment of local youth in society, and other practices that ensure the inclusion of environmental, social and governance elements within the work pillars of Gulf Bank.”

 

He added: “We are constantly striving to meet the needs of customers and investors, and provide services of long-term value financially, environmentally, socially and ethically. By applying sustainability practices effectively, we are proud to contribute to our society's development, and enhance economic leadership in global markets.”

 

Furthermore, he noted that this report focuses on communication transparency within global frameworks, enabling Gulf Bank to identify stakeholder interests, requirements and priorities in essential sustainability decisions while increasing transparency and disclosure of the Bank's performance.

 

Social Responsibility

 

Al-Amir pointed out that the Bank continues to successfully navigate the challenges of the pandemic in spite of what has been a globally challenging year. With a clear and steadfast strategy in place, Gulf Bank has proven itself especially well-equipped to handle local and global crises, especially with the resilient and consistent efforts demonstrated by its employees over the last year.

 

In addition, Al-Amir noted that Gulf Bank was quick to contribute to the Central Bank of Kuwait’s KD 10 million fund designed to allow local banks to support national efforts in combating the spread of the pandemic. Gulf Bank donated KD 1 Million to the banks’ fund, and distributed preventive materials to frontline workers and testing centers.

 

Gulf Bank also responded to the Kuwait Banking Association initiative to postpone customer loan installments for six months, which cost the banking sector KD 380 million. The Bank also postponed loan installments for another six months, offering customers the option to defer payment of their loans without interest on the deferral period.

 

In addition, more employees keep volunteering with Gulf Bank as part of the Bank's "Sawaed Al Khaleej" volunteer program. The program, which aims to strengthen the Bank's role in social responsibility, grew from 116 volunteers in 2019 to 120 volunteers in 2020.

 

As part of its commitment to educate customers about their rights and various cyber security tips, Gulf Bank also participated in “Diraya,” an awareness campaign initiated by the Central Bank of Kuwait and the Kuwait Banking Association, to educate the general public about all matters related to banking and finance.

 

Governance

 

Al-Amir noted that the Bank is implementing the best governance practices, in accordance with the instructions of the Central Bank of Kuwait and the Capital Markets Authority. Gulf Bank maintains the strictest levels of governance through its board of directors and various committees, while adhering to the highest standards of disclosure and transparency, and activating the role of internal and external audits.

 

Women and Youth Empowerment

 

Regarding the Bank’s efforts to support gender parity, Al-Amir noted that women represent 42.3% of the Bank’s employees, with 38% of women also holding a senior management position. Al-Amir underscored the Bank’s eagerness to support gender equality as part of its commitment to respect and support human rights and implement the United Nations' Principles of Women's Empowerment.

 

He indicated that the Bank also pays considerable attention to local youth, which renders the Bank an attractive employer for graduates seeking employment. The employment rate of new graduates also increased by 57.5%, with the number of employees under 30 jumping from 25.5% in 2019 to 28.6% in 2020. In contrast, the proportion of employees between the ages of 30 and 50 decreased from 69.2% in 2019 to 67.4% in 2020.

 

Al-Amir also mentioned that the Bank has recruited six people with special needs over the past year, and has equipped its branches across the six local governorates with ATMs that cater to all needs.

 

Training

 

Al-Amir noted that training courses targeting Gulf Bank employees increased by 26% to include 1,800 employees in 2020, compared to only 1,429 in 2019. The new training opportunities come as part of Gulf Bank’s commitment to keeping up with global banking developments, and ensure continuous human capital development in spite of the pandemic. As part of their precautionary measures, last year’s training courses were all conducted remotely.

 

Kuwaitization

 

Al-Amir also announced that Gulf Bank’s Kuwaitization rate increased by 2.1% to reach 75.3% in 2020, while the percentage of Kuwaitization of senior-level jobs increased by 3.4%, rising from 49.8% in 2019 to 53.2% in 2020.

 

Digital Transformation

 

Regarding the Bank’s efforts to digitally transform banking services, Al-Amir explained that the number of active customers on the Gulf Bank mobile application increased by 7% last year, reaching 44% of customers. The number of active users on the website also grew by 11%, reaching 55% of customers, while the number of followers on social media increased by 23%.

 

He emphasized that Gulf Bank's 2025 strategy focuses on digital transformation, and aims to consolidate the Bank’s leading position as the Kuwaiti Bank of the Future, by providing easy and innovative services to facilitate customers' lives and achieve sustainable growth.

 

Development Projects

 

Al-Amir said that the Bank played a key role in financing seven major development projects that fall under the vision of Kuwait 2035. Gulf Bank also continues to obtain prestigious ratings from international rating agencies, increasing its appeal to foreign investors whose shares in the Bank reached 12.47% by the end of 2020.

 

Environmental Sustainability

 

Al-Amir highlighted the Bank’s role in preserving the environment as it reduced the number of papers used by 5.4% last year, saving approximately one million papers. Gulf Bank also reduced its water consumption by 107,000 gallons, energy consumption by 37,220 kwh, and carbon dioxide emissions by 41 metric tons.

 

Al-Amir concluded by saying: “We are pleased that Gulf Bank has launched its first sustainability report, which will form the cornerstone of our journey towards customers, shareholders and society in the coming years, as Gulf Bank continues to play a key societal role through its distinguished position in the banking sector. Gulf Bank is proud to adhere to the environmental, social and governance standards, and is excited to spearhead important standards of transparency and disclosure for the local and regional banking sectors.”

 

Gulf Bank’s Nine Sustainability Pillars

 

 

Al-Amir mentioned that Gulf Bank’s approach toward sustainability is based on nine key pillars:

1. Effective governance
2. Established leadership
3. Digital excellence and innovative solutions
4. Leadership in customer service
5. Supporting small businesses
6. Commitment to ethics and compliance
7. Empowering women, local youth and people with special needs
8. Creating social impact through community activities and initiatives
9. Protecting the surrounding environment, promoting a culture of waste management and preservation of natural resources.