The Global Alliance for Banking on Values has developed a Scorecard as a structured approach to capture the vision, strategy and results of any bank relative to values-based banking. The Scorecard is based on the GABV’s Principles of Values-based Banking. It allows a bank to self-assess, monitor, and communicate its progress on delivering values-based banking. The goal of the Scorecard is to enhance the financial system’s focus on delivering value to society.
The Scorecard can be used by any banking institution meeting the Basic requirements and is based on two pillars:
The core activity of banking is taking deposits from clients with money and providing loans or investments with this money to clients who need money for investment or consumption. This activity is called intermediation with the bank being the intermediary between these two types of clients. The core of the Scorecard focuses on the positive contribution banks can make to society through providing money to clients who are active in the Real Economy and may provide a Triple Bottom Line of positive social, environmental and economic benefits to society. Whilst the Scorecard uses Quantitative Factors, its overall approach requires judgment based on an assessment of the characteristics and integrity of those Quantitative Factors as well as a holistic view of the bank arising from Qualitative Elements. The Scorecard uses a bank’s measures of impact to provide concrete evidence of its results to benefit society but the Scorecard is not an impact measurement system.
The GABV believes the Scorecard developed through the experience of practitioners in its members helps any bank seeking to shift their banking activities to a focus on delivering value to society through the targeted deployment of people, capital and resources. The Scorecard is provided by a bank but requires full transparency on sources of information ensuring readers can assess the information in a holistic and nuanced basis. To make possible a comparison across members’ financial information, adjustments may be needed. In those cases the adjusted values will appear in italics.