CAIRO: At its seventh annual contest launching, the Arab African International Bank (AAIB) reiterated its commitment to corporate social sustainability in Egypt.
In the first competition of its kind in the nation, each year AAIB works with institutions like Cairo University, Alex University, and the American University in Cairo to recruit bright Egyptian students who will compete as trainees.
Eventually, out of all the students recruited, three winners are presented with financial grants ranging from LE 15,000 to LE 25,000. All other students are given certificates of participation, training, and eventually a chance to train on a summer internship at AAIB.
“We encourage students to train for about nine months in order to enhance their marketing or presentation skills and we sit them down with bank professionals who help them build their resumes,” Kader said.
The students are trained intensively and motivated so that they will be capable of keeping up in today’s highly competitive society.
By sponsoring such an initiative, AAIB hopes to encourage other members of civil society to do the same in order to help Egypt go forward.
Emphasizing that civil institutions were the backbone of Egypt’s society since before 1952, Dalia Kader, AAIB deputy general manager and head of marketing and communications, said it’s important to adhere to social and environmental responsibilities, while also helping other entities do the same.
Using the bankruptcy of financial service institutions of Merril-Lynch and Lehman Brothers as examples, Kader pointed out that when companies or government institutions do not pay close attention to their responsibilities towards society, they eventually fail, “no matter how great their profits were over the years. “
Kader compared the social and environmental responsibility of these institutions to the three-decade regime of Egypt’s ousted president Hosni Mubarak.
“These institutions were extremely successful at one point, but they overlooked responsibilities they had towards the community,” she added. “AAIB aims to be a trendsetter in sustainability because growth isn’t only in numbers and value isn’t always monetary.”
While the former Egyptian regime may have managed to sustain the economy throughout the global economic crisis, many of the countries civil institutions were neglected and the benefits of the financial growth that the country saw all went to one segment of society.
“They failed to sustain the society because they overlooked their social responsibility,” Kader added.
In 2004, AAIB launched an education and health campaign called “We owe it to Egypt” where they adopt public institutions, like the Cairo University Pediatrics Hospital for example, and train the staff as well as reshape the hospital from the inside out.
By doing so, the bank hoped to reach out to the majority of Egyptians who may need healthcare but cannot afford it, as 40 percent of the population lives under the poverty line of $2 a day.
AAIB adopted the Equator Principles, a set of voluntary guidelines that banks use to assess, determine, and manage social as well as environmental risk when financing projects.
The bank, for instance, does not fund companies that produce alcohol, tobacco, or neglect their waste management.
“We invest, secure our profits and at the same time assure that future generations’ security won’t be affected by our actions,” Kader added. “We have to do a social and environmental check on the companies we fund; I can’t empower an institution or company that isn’t environmentally aware.”
The bank’s corporate social responsibility team, however, is encouraging new ideas and hoping that other financial institutions in Egypt will get involved in similar initiatives whether it’s enhancing the health sector or investing in Egypt’s youth.
“We want other banks to get involved, we want these kind of initiatives to be an industry movement,” she said. “If Egypt’s youth is given the chance and the guidance, they shine.”
