Environmental approach

ProCredit Bank’s Internal Environmental Management System includes:

• monitoring energy and resource consumption within the Bank,
• systematic and planned reduction of such consumption,
• raising awareness among employees, and
• collaboration with environmentally responsible (’green’) suppliers.

To reduce the negative impact of climate change on the environment, we implement and refine a range of technical measures through our Annual Environmental Plan, such as replacing lighting systems, investing in improved insulation, enhancing waste management, and introducing sustainable materials.

Environmental issues are an important component of our employee training. In addition, we organise specific ‘green’ initiatives to raise awareness among staff about environmental protection and the consequences of climate change, including a series of educational articles published on our internal portal.

Our vehicle fleet consists exclusively of more environmentally friendly models. 

In Serbia, we have installed 42 electric vehicle charging stations, strategically located across eight cities (Subotica, Sombor, Novi Sad, Belgrade, Pančevo, Kragujevac, Čačak, and Niš) in front of our 24/7 Zones, as well as at high-traffic locations near major roads and motorways, ensuring easy access for all electric vehicle drivers. Charging is available to all citizens, free of charge, 24 hours a day.

We are particularly proud that ProCredit Bank was the first major purchaser of ‘green electricity’ in Serbia. Thanks to the agreement signed with Elektroprivreda Srbije in 2019, we became the first domestic company to receive an EPS Guarantee of Origin certifying that the electricity we consume is generated exclusively from renewable energy sources.

Furthermore, we have eliminated the use of single-use plastic products from our premises and have gradually introduced items made from alternative materials wherever possible.

ProCredit Bank in Serbia implements an environmental management system based on the ongoing assessment of the loan portfolio against environmental protection and clients’ social responsibility criteria.

Ensuring that the economic development we support is, to the greatest extent possible, environmentally and socially sustainable represents a core component of ProCredit Bank’s development mission.

The assessment of environmental, social, and governance (ESG) aspects of our business clients is an integral part of the overall credit risk analysis process.

Before entering into any business relationship, all legal entities are screened against the Exclusion List and local legislation, as well as assessed for environmental and social risks.

This involves a thorough due diligence of all business activities that may pose potential risks to the environment and the community, and the rejection of loan applications from enterprises engaged in environmentally hazardous activities or included on our institution’s Exclusion List.

The goal of Green finance is to stimulate investments aimed at improving the environment, either through project financing or through specially designed loan products for investments in energy-efficient technologies, renewable energy sources, and other related environmental activities.

By financing such investments, the Bank contributes to the promotion of environmentally friendly and energy-efficient enterprises and households. In designing these loan products, local market conditions are taken into account, while the approval process also includes technical support aspects for the investment.

By supporting the circular economy, our Bank invests in business models that create value without waste – because sustainable growth begins with the smart use of resources and finance that follows the flows of the future.

Green Finance is a key mechanism for mitigating the effects of climate change and accelerating the transition towards a sustainable, low-carbon economy. In the fight against climate change, Green Finance is not just a tool – it is a driver of change.

Climate change refers to long-term shifts in average weather conditions on Earth, including:

• rising global temperatures,
• changes in precipitation patterns,
• increased frequency of extreme weather events, and
• alterations in ecosystems.

The main cause of modern climate change is human activity, particularly the emission of greenhouse gases (such as CO₂ and methane) generated by the burning of fossil fuels, industrial processes, and agriculture.

Climate change has a wide range of negative consequences, including:

• Rising sea levels – due to the melting of ice caps and glaciers.
• Extreme weather conditions – more frequent and intense storms, droughts, heatwaves, and floods.
• Loss of biodiversity – many plant and animal species are losing their natural habitats.
• Impact on human health – increased respiratory diseases, the spread of infectious diseases, and threats to food and water security.
• Economic losses – damage to agriculture, infrastructure, tourism, and other sectors.
• Migration and conflict – climate-related stress can trigger population displacement and social tensions.
   

The circular economy is a sustainable development model based on the efficient use of resources, recycling of products, and minimisation of waste. Unlike the traditional linear economy (‘take–make–dispose’), the circular economy promotes reuse, repair, recycling, and extending product lifecycles. 

Why is the circular economy important?

This approach contributes to:

• conserving natural resources,
• reducing pollution, and

combating climate change.

At the same time, it delivers economic benefits through innovation, cost reduction, and the creation of new markets.

Advantages of the circular economy:

• Less waste and pollution
• More efficient use of resources
• Reduction of CO₂ emissions
• Encouragement of innovation and green technologies
• Sustainable growth and new job opportunities

Through recycling, product sharing, servicing, and the use of renewable materials. A relatively familiar example in practice is glass packaging.

In the linear model:

We buy juice in a glass bottle → we drink it → we throw the bottle away → it ends up in a landfill.

In the circular model:

1. The manufacturer uses recycled glass to produce bottles.
2. The consumer returns the empty bottle to the shop.
3. The bottle is washed and reused or recycled into a new bottle.
4. No waste is created, and resources are conserved.

Everyone can contribute by choosing recyclable products, using second-hand items, reducing waste, and consuming responsibly.

Here are some practical ways you can contribute:

Shop smart

• Choose products with less packaging, made from recycled or natural materials.
• Support local producers and brands that apply circular principles.

Repair instead of replacing

• Repair clothes, electronics, and furniture – extend their lifespan.

Recycle properly

• Separate household waste (plastic, paper, glass, bio-waste).
• Use local recycling centers and bins.

Share and exchange

• Use exchange platforms for books, clothes, tools, and more.
• Take part in shared use schemes (e.g. car-sharing, bike-sharing).

Spread awareness of the circular economy

• Learn more about the circular economy and share its benefits with others.

Yes. The circular economy generates benefits through lower production costs, more efficient resource management, and new business models.

The circular economy offers numerous advantages compared to the traditional linear economy, including:

Resource savings

• Fewer raw materials are needed, as materials are recycled and reused.
• Production and transport costs are reduced.

Lower waste costs

• Less waste means lower disposal and management costs.
• Companies can sell by-products as raw materials to other firms (industrial symbiosis).

New business opportunities

• New markets open up for repair, recycling, leasing, and product-sharing.
• Innovative models (e.g. product-as-a-service) create stable revenue streams.

Enhanced competitiveness

• Companies applying circular principles often enjoy a stronger reputation and attract environmentally conscious consumers.
• They can more easily adapt to regulations and access subsidies.

Long-term resilience

• Reduced dependence on imported raw materials and global supply chains.
• Greater resilience to crises and resource price fluctuations.

ISO 14001 is an international standard for environmental management systems, which defines a framework for identifying, controlling, and reducing the negative impact of business activities on the environment. 

The certificate confirms that ProCredit Bank applies responsible environmental practices, including:

• efficient use of resources,
• waste reduction, and
• continuous improvement of environmental performance.

The certificate is issued by an independent accredited certification body following a detailed audit of compliance with the requirements of the standard. The certification process includes internal preparation, external audit, and regular inspections to ensure consistency and continuous improvement of the system.

By obtaining this certificate, the Bank reaffirms its commitment to sustainable development and responsible business practices, in line with the highest international environmental standards.