Corporate governance

The corporate governance policy is focused on a commitment to the principles of sustainable development, economic efficiency, financial health, and responsibility towards clients, the community, and the economy in which the bank operates, as well as its employees. In order to establish high standards and achieve good corporate governance, transparency in business operations as a foundation for protecting shareholders, investors, and other stakeholders, and care for workers and sustainable development, the Bank adheres to the following principles:

  • Full and unconditional compliance with the legal and sub-legal regulations in BH, including ESG standards
  • Business transparency
  • Protection of shareholders' rights
  • Clearly defined powers and responsibilities of the Bank's bodies
  • Cooperation between the Management Board and Supervisory Board, transparency of relations between all the Bank's bodies, employees, shareholders, customers and the public as a whole
  • Effective system of internal controls
  • Compliance with the standards of prevention of money laundering and financing of terrorist activities
  • Compliance with data protection standards
  • Prevention of conflicts of interest
  • Implementation of anti-corruption policies

Sustainable development is the foundation of good business governance and increased competitiveness. It involves the process of considering and taking into account environmental, social, and governance (ESG) factors, as well as serving as a strategic directive for the Bank. The Bank aligns the impact of its operations with the United Nations Sustainable Development Goals.

The Bank implements high standards through its Code of Ethics and Business Code, which promote a culture of integrity. Additionally, the Sustainability Committee has been established to ensure the adequate, efficient, and comprehensive management of financial health, sustainability, and the Bank's approach to managing climate and environmental risks.

The Bank:

  • establishes risk monitoring and management mechanisms ensuring resilience and long-term preservation of value for the Bank's operations. Special attention is paid to the process of adequate risk assessment and timely identification of risks that serve as a basis for making business decisions.
  • maintains corporate governance practices through exemplary governance and accountability of the Management Board, Supervisory Board and senior management.
  • implements high standards through the Code of Ethics and the Business Code that promote a culture of integrity
  • defines standards and regular controls in all relevant business processes to identify and prevent potentially illegal or unethical practices
  • continuously improves data management systems to ensure timely, relevant and transparent financial and non-financial reporting
  • publishes information about its operations in a transparent, accurate and timely manner, including ESG data per relevant regulations