Kiwibank outlines goals in 2021 Sustainability Report

02/11/2021

Kiwibank today released its 2021 Sustainability Report (PDF 5.1 MB) which outlines the bank’s performance to date and sets out some ambitious goals.

Kiwibank Chief Executive Steve Jurkovich said the report demonstrated the actions Kiwibank was taking to deliver on its purpose, Kiwi making Kiwi better off, and how the bank was using its purpose to drive decision-making.

“We have made good progress on our commitments and targets. We’ve also spent a considerable amount of time rethinking what it means to be a purpose-led organisation.

“Our purpose shapes the type of organisation we aspire to be, and the positive impact we want to have for our people, our customers, our communities, the environment, and the New Zealand economy.”

The bank has committed to three purpose pillars over the next 10 years:

  1. Supporting tamariki to have access to quality financial education
  2. Helping two million New Zealanders to take action to secure their financial future
  3. Providing $2 billion in financial support to SMEs towards their sustainability journeys

Key highlights:

  • Achieved B Corp certification which encourages us to continue to meet the highest standards of social and environmental governance.
  • Re-certified as a Rainbow Tick and Gender Tick organisation.
  • Launched our Rautaki Māori to support Māori aspirations and anchor Te Ao Māori into our everyday business.
  • Reduced carbon emissions by 53% (from a baseline year of 2018) and set new targets to be carbon neutral by 2025 and reduce our carbon emissions by a further 40%.

Taking climate action

Mr Jurkovich said when it came to climate action the bank had a clear goal to reduce the impact of its own business, as well as working with customers to help them understand the risks and opportunities that climate change presents for all of Aotearoa.

Kiwibank has teamed up with NIWA to develop a high-level view of the exposure of the bank’s property lending portfolio to coastal flooding and how that will change over the coming decades. The model estimates that 1.8% of the bank’s property portfolio will be exposed to coastal flooding risk by 2050 as a result of projected sea level rises.

The report highlights as an island nation, one of the biggest risks we face is coastal flooding. We know that the effects of coastal flooding are not spread equally, and some regions will be impacted more and at different times than others. In addition, the high value of property in this country means that the impacts associated with coastal flooding are significant for impacted individuals.

“The issues of climate change are complex, and we still have much to do to understand how best we can support our customers. This is a challenge central and local governments, businesses, and communities all have to grapple with," Mr Jurkovich said.

“This sustainability report underlines the leadership we are looking to display in the future to enable our customers to thrive. It is a clear statement of how serious we are about the commitments we have made.

“As a purpose-led organisation, we believe it’s important for our customers, our people, and the wider community that we report our progress every year against the targets we set. We want to build understanding and awareness of how we are changing as an organisation for the better and this report is an important part of that. We are proud of what we have achieved to date on our commitments and the direction we are taking.

“We are committed to keep lifting our game and doing the mahi so we can keep delivering on our purpose of making even more Kiwi and Aotearoa better off,” he concluded.

Ends.