Sustainability‐related disclosures of OTP BANKA d.d.
OTP BANKA d.d. welcomes all initiatives aiming at environmental protection and other factors that define investments as sustainable, including environmental, social and employee issues, as well as issues related to respect for human rights and the fight against with corruption and bribery. The Regulation (EU) 2019/2088 of the European Parliament and of the Council on sustainability‐related disclosures in the financial services sector (hereinafter referred as: Regulation) is considered to be a milestone in the ESG related EU legislation by requiring the disclosure of specific information on the approaches of the financial institutions to the integration of sustainability risks and the consideration of adverse sustainability impacts. OTP BANKA d.d. is strongly committed to the goals of the Regulation and as part of the OTP Banking Group makes huge efforts for being in full compliance with it.
However, for the time being OTP BANKA d.d. has chosen not to consider adverse impacts of investment decisions on sustainability factors in its investment advice based on paragraph 5.b of article 4 of Regulation as the consideration of such impacts requires the revision of numerous internal policies and procedures moreover additional IT developments are needed for the proper implementation in a relatively short period of time. Referring to the strong commitment of OTP BANKA d.d. towards the goals of the Regulation, the OTP BANKA d.d. hereby expresses its willing of considering such impacts not latest till March 10th 2022.
As far as the sustainability risks are concerned, OTP BANKA d.d. deems these risks not to be relevant according to paragraph 2 of article 6 of the Regulation. OTP BANKA d.d. conducted a preliminary sustainability risk assessment in case of the financial products which lead to the conclusion that there are no sustainability risks deemed to be relevant to the financial product based on investment advisory service on dependent basis.