Global Alliance for Banking on Values


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Global Alliance for Banking on Values - a network of the world's leading sustainable banks. Who they are, what they do, and why it matters

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Global Alliance for Banking on Values

  1. 1. Global Alliance for Banking on Values 1 Billion Lives Touched with Sustainable Banking by 2020
  2. 2. The GABV is a group of banks using finance to build a more sustainable future for the environment and unserved people and sectors <ul><li>Over the last several decades a number of banks and their affiliates have emerged throughout the world to deliver innovative products to holistically meet the needs of their communities. In the more recent past the financial sector has found itself in a crisis of multiple dimensions including lack of confidence, inadequate profitability and over-complexity leading to a negative impact on the overall economic climate. The Global Alliance for Banking on Values has been established to use the knowledge from these innovative banks and affiliates to provide alternatives for addressing the current crisis in our financial world impacting the overall sustainability of our society. </li></ul>Page
  3. 3. GABV success will be measured by making sustainable finance a broad movement <ul><li>Current GABV footprint </li></ul><ul><ul><li>10 members active in 19 countries </li></ul></ul><ul><ul><li>Approximately 7 million clients served directly and 28 million individuals in total </li></ul></ul><ul><ul><li>Assets in excess of $14 billion </li></ul></ul><ul><ul><li>Commitment to raise $250 million in capital over three years </li></ul></ul><ul><li>Access to and impact from sustainable finance is not easily measured but believed to cover only a small portion of the current global population of 6.8 billion people </li></ul>Page
  4. 4. Who are our members? <ul><li>Innovative banking institutions whose primary focus is on: </li></ul><ul><ul><li>Delivering social finance products and basic financial services while </li></ul></ul><ul><ul><li>Financing community based development initiatives and social entrepreneurs thereby </li></ul></ul><ul><ul><li>Fostering sustainable and environmentally sound enterprises and fulfilling human development potential including poverty alleviation while </li></ul></ul><ul><ul><li>Generating a triple bottom line for People, Planet and Profit </li></ul></ul>Page 7
  5. 5. What are our shared values? <ul><li>Although each of us is unique, we share the values of: </li></ul><ul><ul><li>Using money as a tool for enhancing the quality of life through human, social, cultural and environmental development </li></ul></ul><ul><ul><li>Responsibility for the long term impact of our efforts on our interdependent environment and communities, and </li></ul></ul><ul><ul><li>Transparency, trust, clarity, and inclusiveness in delivering our products and services </li></ul></ul>Page 8
  6. 6. What is our joint mission? <ul><li>As a global alliance we will work together to: </li></ul><ul><ul><li>Deliver joint ventures to drive sustainable social and environmental change </li></ul></ul><ul><ul><li>Provide thought leadership and advocacy for social innovation in the financial sector, and </li></ul></ul><ul><ul><li>Combine and share strengths, capabilities and resources to improve each of our competitive positions </li></ul></ul>Page 9
  7. 7. In Dhaka the GABV agreed a major goal: 1 billion lives touched with sustainable banking by 2020 This goal will be achieved through a detailed and focused execution strategy Page 10
  8. 8. In Dhaka the GABV agreed this goal will be achieved by executing five action tracks: <ul><li>Delivering organic and inorganic network expansion of sustainable banks </li></ul><ul><li>Securing financial capital to allow for balance sheet growth </li></ul><ul><li>Developing human capital with sustainable banking values and capabilities </li></ul><ul><li>Providing thought leadership to develop support for public policies favorable to sustainable banking </li></ul><ul><li>Implementing impact measurements focused on results delivered </li></ul>Page 11
  9. 9. By 2015 the GABV expects to have achieved the following on our path to meeting our goal <ul><li>Network expansion will lead to affiliation with the GABV of 50 to 100 sustainable banks with diverse representation across geographies </li></ul><ul><li>Financial capital will be raised to meaningfully exceed the GABV’s CGI commitment of $250 million and an initial investment fund focused on sustainable banks will have been closed </li></ul><ul><li>Human capital to deliver sustainable banking will be enhanced through global introductory and advanced learning programs and development of a robust knowledge sharing network across the GABV network </li></ul><ul><li>Thought leadership using the results of basic research will position the GABV as the primary source of how banking can impact lives on a triple bottom line basis </li></ul><ul><li>Impact measurements will be objectively used by investors and society to judge banks on both financial and development results with the GABV network annually showing increased outputs on these agree metrics </li></ul>Page 11
  10. 10. Appendix
  11. 11. GABV 1 billion rationale - March 2010 <ul><li>The GABV goal is based on assumptions believed to be reasonable. </li></ul><ul><ul><li>Current ratio of clients/assets remains the same </li></ul></ul><ul><ul><li>Each client impacts 4 people in total </li></ul></ul><ul><ul><li>Organic capital grows 10% per year </li></ul></ul><ul><ul><li>New external capital generated at 8% of prior year capital </li></ul></ul><ul><ul><li>Capital from 2011 would be required to be 9% of assets </li></ul></ul><ul><ul><li>Membership grows 50% per year through 2015 stabilizing at 100 </li></ul></ul><ul><ul><li>Ratio of assets/members remains constant </li></ul></ul><ul><li>Using these assumptions total individuals impacted in 2020 are 1.3 billion which would significantly exceed the proposed goal </li></ul><ul><li>Estimates for world population in 2020 range from 7.5 to 8 billion so achieving our goal would be impacting about 17% of the world population </li></ul><ul><li>Total assets under these assumptions would be in excess of $650 billion supported by a capital base of $58.6 billion </li></ul>Page 19