The FINANCIAL — “Our choice is to financially help those people who have low incomes. Our social responsibility is to bring financial services where there is none at all,” says Levan Lebanidze, General Director of Bank Constanta.
“At the moment we are the most active micro financing organization which operates in the regions. Our activities in the direction of agriculture are equally profitable for the company, for society and for the environment.”
Last week The FINANCIAL talked with Mr. Lebanidze.
“First of all CSR is associated with business activity for Bank Constanta. This means significant contribution to the country’s financial sector for economic development; caring about raising the living standard; reasonable funding for the lower income segments of society; to have affordable financial services for society; to improve and develop credit service. Bank Constanta wants to be a reliable partner for the state and for nonprofit organizations. Together we will create a stable social environment.
The main direction of CSR for Bank Constanta is the creation of economic and social benefits for our clients and for their families. The company should protect its client’s rights. Also, employees’ social security is very important for us; life and health insurance, human resources’ research and development. Another important thing is social projects. We implement social projects in various fields such as educations, culture, sport, health and environment protection.
Our mission includes social responsibility. Our company’s profile is a high quality financial service with special focus on micro and small entrepreneurs. People who have low levels of income can still access financial services. It took a long time for the world community to recognize that micro financing service brings about great results for poor people. Constanta was the first micro finance organization and has been working in Georgia since 1997. None of the companies had the same profile as us. This means that one part of society was excluded from the scope of banking services.
Q. In your opinion what kind of CSR activities does society expect from Constanta?
A. First of all society requires a business company to do its job correctly. This is about payments, creating new jobs, having quality products and services. Besides all these things, society expects socially beneficial activities from the company; to be interested in solving the problems which exist in society. At the same time it is very important for the business to be considered as not just a source of income and money, but as a source of development. Because the business truly can impact on the development of society and change the economic climate.
The strategy and future plans of the Bank are based on its social mission first of all. According to the company’s main goal, its service should be affordable for those customers who can not use credit service.
We choose such regions where there are not financial institutions. Or their number is so few that they can not satisfy the demand. In such situations we fill in the shortage, which is demanded but is not supplied.
Every company should be based on the idea that all parties must me satisfied and happy. We offer the product to society according to the demand. The company, society and environment should all benefit. If the company does not benefit, it can not offer the service next time.
Demand and supply should be based on a healthy economy.
Q. What are the main projects implemented by your company within the frame of CSR? Please could you give us examples of the most successful CSR directions, which benefit company, society and environment?
A. For example we are sponsors of the festival Art-Gene. In the framework of the festival lots of interesting art is displayed. The young generation is involved in this festival as well. It is a very important event because the purpose of the festival is to maintain and introduce Georgian culture and traditions to the new generation and society at the same time.
This is not the only way that Bank Constanta supports Georgian culture. From our page on facebook customers are able to get information about all the regions of Georgia and our traditions in them. We also sponsor educational video projects. The videos are about Georgian traditions and history as well. We believe that all these help society to evaluate Georgian culture and traditions.
Q. Do you have a separate CSR department and Manager at your company in charge of CSR activities?
A. The marketing department of Bank Constanta manages CSR development and implements different projects in this field. This department is functionally divided in to three directions: customer satisfaction, caring of employees and social projects.
Q. Do you have a determined annual budget for CSR activities?
A. As CSR is a very important part of Constanta’s directions it is of course determined in the budget. The budget has increased compared to last year and we expect more of an increase next year as well.
Q. Does the company publish summary reports from time to time and how accessible is it for society?
A. It is very necessary for summary CSR reports to be accessible for society. In today’s world it is important for society to have information about the projects that the company implements. Summary reports give information to society about the significance of the company. People can get information about our projects and activities from our annual reports and this information is accessible on our website.
Q. How much do CSR activities help your company to succeed?
A. CSR is not only about moral obligations. It impacts positively on the business. This is a successful step that gives a good image to the company in the eyes of the world and in the country where the company operates. CSR causes demand for a product, helps the company to maintain its clients, to attract human resources. It also helps the company to improve relations with the Government. All these facts improve the business environment in general. It also increases the number of the company’s clients.
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