Sustainability Policy and goals

Íslandsbanki’s Sustainability Policy aims at making the Bank a model of exemplary operations in the Icelandic business community and a catalyst for positive social action, moving Iceland forward by empowering its customers to succeed.

Íslandsbanki‘s Sustainability Policy

Íslandsbanki’s Sustainability Policy creates a comprehensive framework for its activities in the area of sustainability. Íslandsbanki aims to be a role model in sustainable development in its operations, based on internationally recognised standards on environmental, social and governance matters (ESG or sustainability factors). The Bank therefore considers its financial objectives relating to profit and efficiency as well as ESG criteria in its operations:

  • Environmental criteria focus on how Íslandsbanki monitors the environmental impact of its activities and how the Bank supports, among other things, the SDG on climate action.
  • Social criteria centre on how the Bank behaves towards employees, suppliers, customers, and the community in which it operates. In this way, the Bank supports, among other things, the SDGs on Quality Education; Gender Equality; and Industry, Innovation, and Infrastructure.
  • Governance criteria centre on the Bank’s Board and Directors, as well as its internal control and the rights of shareholders.

Íslandsbanki Sustainability Policy, approved by the Board of Directors, June 2026

Sustainability focus areas for 2030

Here you can see the Bank’s sustainability focus areas through 2030, along with the goals set for 2026. The Bank’s business units contribute to defining the focus areas and goals, as well as to developing the corresponding action plan.

Sustainability Focus areas for 2030

Sustainability goals 2026

Conversation with 80 SMEs in business with the bank on sustainability and transition

Meet the Icelandic companies that account for the top 80% financed emissions in Íslandsbanki’s loan portfolio and discuss transition opportunities

Environmental

Net-zero emissions and transition

Start the process of setting a confirmed scientific target for total short- and medium-term emissions

Support vehicle rental companies finance clean energy vehicles in line with the Icelandic government Climate Action Plan

Maintain 15% of corporate loan portfolio within the Sustainable funding framework

Social

Financial health of customers

Tailored education for different groups to support their financial health

Own workforce, diversity and inclusion

Balance the ratio between men's median pay and women's median deliberately.

Promote increased participation and interest of young women in IT and investment banking

Continued commitment to support strong and transparent governance practices

Governance

Clear and strong governance

Implementation of an incentive system

Further development and strengthening of the Bank’s sustainability risk assessment

UN Sustainable Development Goals

Reporting disclosure and education

Sustainability education to be part of mandatory education for workforce