Tackling a global challenge

Globally, around 1.7 billion adults do not have a bank account, which means they are incapable of making investments and do not have access to loans or other banking services. Erste Group estimates that around 14 million people in the CEE region are at the risk of poverty. This poverty or financial stress can take many different forms. It can, for example, start with not having enough money to finance urgent, short-term expenses or not being able to raise any or only very limited funds for heating or food. Taking action to ensure the financial health of all people is paramount in the fight against inequalities, which have been exacerbated by the Corona pandemic.

The banks that have signed the Commitment have 18 months within which they must set concrete targets. The measures they will implement will seek to promote a banking sector that does the best possible job in supporting the financial health of customers.

Building Financial Health on the back of a strong track record

Already next year, Erste Group will launch an even stronger focus on the financial health of its customers across all its markets. In doing so, Erste Group will be able to build on a strong foundation: Erste Group’s financial literacy initiatives have already reached several hundred thousand people in Austria and the CEE region. All of these financial literacy initiatives are provided free of charge and have been developed in corporation with external experts to ensure their independence and quality. Financial inclusion projects such as the Zweite Sparkasse in Austria provide additional support to clients with the aim of allowing them to permanently bring order back to their economic situation. Since its founding in 2006, Zweite Sparkasse has helped around 15,000 people in Austria to overcome their financial difficulties. In addition, Erste Social Banking provides tailor-made affordable financial solutions accompanied by financial or business education and mentoring to empower clients to build prosperity. Over the past few years, Erste Group has provided 400 million euros of funding that has supported 6,000 entrepreneurs in taking their first steps, 700 social organizations in pursuing their work and 8,000 small farmers in tending their fields.