FAQs

ESG stands for Environmental (operational ecology, environmental impact of our products and financing), Social (e.g. treatment of employees, social commitment) & Governance (corporate governance, risk management, compliance) and is used as a wider term for sustainability.

Banks have an essential steering function – because they decide which economic activities are financed and/or in which areas they invest. Financial transactions are considered sustainable if, in addition to the traditional criteria such as return and credit risk, they also take environmental, social and governance aspects into account. For example:  If a financing is to be considered environmentally sustainable, certain environmental indicators must be met. In the case of buildings, , this might be shown through applying to the heating requirements and the CO2 emissions – two data points that can be derived from a property’s energy performance certificate (EPC).

Thinking and acting sustainably have always been integral elements of Oberbank’s value-based strategy. In 2019, we professionalised our activities in this area with the development of our sustainability strategy and the implementation of modern sustainability management at the bank. Today, our sustainability strategy is an integral part of our Strategy 2025. In our annual Sustainability Report ( as of April 2024 part of Annual Report) we provide a comprehensive overview of all our activities in this area.

According to ISS ESG, Oberbank AG is thus among the TOP 10 of 287 rated institutions worldwide in the Financials/Public & Regional Bank sector (as of the 28th of december 2023):

Details on the recent ESG ratings and awards

A sustainability rating assesses companies, countries or projects in terms of their sustainability in a wide range of areas (governance, social, environmental, products, etc.). Sustainability ratings are usually issued by specialised agencies such as ISS ESG or Sustainalytics. Oberbank has achieved PRIME status in the ISS ESG corporate rating since June 2021, which means that we are among the best banks in the industry.

Oberbank has been addressing the issue of sustainability in detail for quite some time – a dedicated sustainability organisation with sustainability officers in all departments and a separate committee has been in place since 2021. In 2022, a dedicated team for sustainability was established at Oberbank – the ESG Unit. This body serves as the first point of contact, both internally and externally, and acts as a hub for various sustainability agendas within Oberbank. The ESG Unit is also responsible for preparing the annual sustainability report.

With regard to sustainability, Oberbank pursues an integrative approach and maintains a regular and open dialogue with its most important stakeholder groups (public institutions, customers, investors and employees) as well as with representatives of drivers of sustainable development (NGOs, industry initiatives, sustainability rating agencies and regulators). Accordingly, the interests and expectations of stakeholders known to us are reflected in our sustainability goals and measures.

Oberbank’s sustainable product portfolio is an important building block with which Oberbank aims to contribute to the sustainable development of the environment and society.
That is why Oberbank is continuously working to expand its range of sustainable products and services.

• For private customers
  For retail customers in Austria, Oberbank offers a sustainable current account. The be(e) green account was awarded the Austrian Ecolabel because sustainable projects are financed in the amount of the account deposits. In addition to economic criteria, these projects also include ecological and social aspects. Every time we open an Oberbank be(e) green account, Oberbank makes a joint contribution to the preservation of the bee population by creating large-scale flower meadows, thereby providing a habitat for bees and other flower-pollinating insects. Furthermore, a sustainable savings account and a be green students account are offered.

  A be green mobility instant retail loan has been available since January 2024. This product, which can be taken out at any Oberbank branch, finances the following: hydrogen cars, e-cars, e-motorbikes, e-bikes, cargo bikes, bicycles and scooters.

  The be green living retail loan for renovation, purchase and construction of properties in Austria has been available to our retail customers since March 2024.

  Please find further information on our products for private customers here: www.oberbank.at/privatkunden (in German).

• For corporate clients

  Oberbank supports you in applying for investment subsidies. Classic investments by companies, e.g. in new production facilities, are usually not eligible for subsidies. Often, however, it is precisely these investments that lead to energy savings, lower CO2 emissions, etc. and could therefore be eligible, for example, for environmentally relevant investment subsidies. Why not have a word with your advisor about sustainable investment incentives?
  
  Since 2023 an ESG-linked loan is offered in which the respective companies agree to individual sustainability targets, such as the reduction of CO₂ emissions or the reduction of occupational accidents. Sustainability ratings or an ESG-certificate from recognized providers can also be used as a basis. If set targets are achieved, the loan interest rate is adjusted to the benefit of the customer.
  For further information on ESG-linked loans (only available in german)

  recognized providers can also be used as a basis. If set targets are achieved, the loan interest rate is adjusted to the benefit of the customer. For further information on ESG-linked loans please visit: ESG-linked Kredite | Firmenkunden - Oberbank ( only available in German)

   

• be green invest loan/leasing: In order to support corporate customers in financing their sustainable investments, a separate low-interest loan product was launched in 2024 to finance sustainable investments and projects (f.ex. tenewable energy, clean mobility or research projects for the decarbonization of products and processes). For further information please see: Investitionsfinanzierung | Firmenkunden - Oberbank (in German).

We eat organic food, shop consciously, live energy-efficiently. But our investment decisions also help determine how our future will turn out. In addition to the classic forms of investment, there are already many ways to invest our money in sustainable products. By opting for sustainable funds by 3 Banken-Generali Investment-Gesellschaft m.b.H., we invest, for example, in sustainable transport systems, in robust infrastructures, in environmentally friendly buildings, in innovative industry and technology, in responsible consumption, in affordable education or in food for all. Because the security selection takes into account not only economic but also ecological, social and governance criteria, the sustainable funds of 3 Banken-Generali Investment-Gesellschaft m.b.H. have been awarded the Austrian Ecolabel*. The exact criteria for the individual funds can be found at Nachhaltige Geldanlage | Wertpapiere - Oberbank (in German).

*Austrian Ecolabel

The Austrian Ecolabel (registration no.: UW 681) was awarded by the Federal Ministry for Sustainability and Tourism to the 3 Banken dividend equity strategy, the 3 Banken sustainability fund, the 3 Banken Mensch & Umwelt equity fund and the 3 Banken Mensch & Umwelt mixed fund because in addition to economic criteria, ecological, social and governance criteria are also taken into account when selecting the respective securities. The Ecolabel ensures that these criteria and their implementation are suitable for the selection of appropriate stocks. This has been independently verified. The award of the Ecolabel does not allow for any conclusions regarding the future performance of the investment fund. Further information on the Austrian Ecolabel and the guidelines for sustainable financial products can be found at: https://www.umweltzeichen.at/en/products/sustainable-finance

Green/social/sustainability bonds differ from “normal” bonds primarily in the use of the funds. In the case of green bonds, the proceeds are used to finance green projects with an impact on the climate or the environment (such as energy-efficient housing); social bonds, on the other hand, finance social projects such as the construction of hospitals or the operation of educational institutions. Sustainability bonds combine projects from the green & social categories. The project categories that are eligible for the use of funds are precisely defined in a framework. In addition, the issuer must report annually not only on the use of funds but also on the positive contribution of the financing (in the case of the green bond, for example, to climate protection) in a so-called impact report which must be made available online.
 

In 2018, the EU Commission formulated its action plan “Financing Sustainable Growth”, which includes measures in three areas:

• the targeted steering of capital flows towards sustainable investments
• the integration of sustainability risks into a financial institution’s central risk management system
• guaranteeing the transparency of the activities undertaken and the long-term nature of all measures in the area of sustainability (avoidance of greenwashing)
  
  The draft of the Omnibus Directive published in February 2025 proposes simplifications to the aforementioned regulations, which would affect Oberbank and in particular our corporate customers.

The EU Commission’s action plan in turn has resulted in numerous EU-wide regulations and standards that directly affect us as Oberbank or have an impact on our business activities, first and foremost the EU Taxonomy and Disclosure Regulations, as well as the Corporate Sustainability Reporting Directive (CSRD) and the European Sustainability Reporting Standards (ESRS)

More information on sustainable finance and the EU action plan can be found via Overview of sustainable finance | European Commission (europa.eu)

The EU taxonomy is essentially a list of economic activities that are considered sustainable. In the so-called delegated regulations, it lays out detailed classification systems that can be used to determine whether or not an economic activity is sustainable. These are mainly technical criteria (including CO2 values or energy levels). For example, criteria are defined which a housing project must fulfil in order to be classified as sustainable. These criteria are constantly being expanded and/or will change over time.

The aim of the EU taxonomy is to channel more investment into sustainable economic activities in order to contribute to the transformation of the economy and society towards greater sustainability and to achieving the goals of the Paris Climate Agreement.

When analysing financing activities with regard to their environmental sustainability, Oberbank applies the assessment criteria of the EU taxonomy to the extent that this is in line with the exclusion criteria set by Oberbank. However, Oberbank excludes all investments in nuclear power, as this is not compatible with its exclusion criteria.

Since 2024 on, financial institutions within the EU have to provide comprehensive evidence of the proportion of sustainable business in reporting the Green Asset Ratio (GAR). The GAR is a KPI intended to provide a harmonized metric showing environmentally sustainable assets as a percentage of lenders banking books. In order to calculate the GAR, the share of sustainable financing of a defined group of customers (companies that must publish the proportion of their business that complies with the taxonomy, private customers and local authorities) is compared with the bank’s total exposure as defined by the directive.

For further details on the CSRD please see on guidelines for preparing the sustainability report.

Further information on the EU taxonomy can be found under the link

The Sustainable Finance Disclosure Regulation (SFDR) imposes comprehensive disclosure obligations on financial market participants and financial advisors regarding sustainability risks. The aim of the SFDR is to ensure that all financial market participants integrate ESG aspects into their advisory process. This is to ensure that (institutional) investors include ESG considerations in their investment decisions. Among other things, disclosures on ESG strategies and ESG characteristics of financial products must be made on the website, in pre-contractual information and in periodic reports. In this context, Oberbank discloses its strategy for dealing with sustainability risks on its website, and the pre-contractual information can also be found online, directly linked to the individual products.

As part of the Green Deal, a clear objective of the European Council and the European Parliament was to revise and strengthen the rules of the existing non-financial reporting directives (NFRD), in Austria implemented through the NaDiVeG (Sustainability and Diversity Improvement Act). The Corporate Sustainability Reporting Directive (CSRD) thus replaces the NFRD.

In Austria, the CSRD will be transposed into national law by the Sustainability Reporting Act (NaBeG) and will therefore replace the NaDiVeG in future.

The CSRD - which also requires a mandatory external audit of sustainability reporting - ensures that companies provide their stakeholders with reliable, comparable and transparent sustainability information to enable them to assess their non-financial performance. Transparent and standardized reporting is intended to support the redirection of investments in more sustainable technologies and companies in accordance with the Green Deal. The detailed European Sustainability Reporting Standards (ESRS) were developed by the European Financial Reporting Advisory Group (EFRAG) and define the data points to be disclosed.

The CSRD reporting requirements of the European Union have in principle applied to Oberbank from the financial year of 2024 on - however, reporting in accordance with the CSRD (and thus also in accordance with the ESRS) is not yet mandatory in Austria due to the lack of a national implementation law. Oberbank has opted for voluntary CSRD and ESRS reporting and has already started carrying out the materiality analysis and converting to the ESRS structure in 2023. Further changes and additions for the full application of the ESRS followed in the sustainability declaration for 2024 and this was also audited in accordance with the ESRS.

To Reportsustainability and sustainability report (Sustainability - Oberbank)