Interview of the month: Martin Rohner from Global Alliance for Banking on Values
This month, we had the opportunity to speak with Martin Rohner, the Executive Director at the Global Alliance for Banking on Values. Founded by a small group of leading banks in sustainable finance 15 years ago, the Global Alliance for Banking on Values counts today more than 70 member banks around the world, united by sustainable banking values. Martin offers a compelling alternative to conventional banking by encouraging the discussion of fundamental values that drive the daily operations of financial institutions.
Can you tell us about the Global Alliance for Banking on Values? When and why was the alliance formed? How many members does it have today?
The Global Alliance for Banking on Values, or GABV for short, is a global movement of frontrunners in values-based banking. Our vision is centered on the idea of finance for both people and the planet—banking as a means to an end, rather than the end itself. The alliance was formed about 15 years ago by a group of leading sustainable banks from around the world. Today, we have 70 member banks globally, representing a very diverse movement that spans both the global North and South. While our members operate different banking models, they are all united by the same core principles and values.
At the heart of our business model is a strong social and environmental focus. Our members are deeply grounded in the real economy, which means they have a unique understanding of the communities they serve and the risks and opportunities they face. They’ve also proven to be highly resilient during crises, are extremely transparent, and practice inclusive and diverse governance. All of these principles are deeply embedded in the culture and strategy of each member organization.
Interestingly, our primary audience within these banks are the CEOs and non-executive directors of our member banks. They are the ones who ultimately shape the strategy and focus of an institution. The key question they face is whether their institution is primarily focused on profit and commercial success, or whether it also has a purpose. How do they balance these two dimensions? What guiding values drive their business decisions? These are the questions we encourage them to ask.
Values are a core part of your organization’s name and philosophy. What are the principles of values-based banking and why are they important?
Every bank, and really every business, operates on a set of values—whether they’re aware of it or not. The important question is: What values are driving the business? What is the purpose and intention behind their actions? Banks are not just neutral intermediaries, even though they might like to think they are. Every decision a bank makes has an impact on society, the environment, and all the stakeholders involved.
At the GABV, we acknowledge the immense responsibility that comes with being a bank. That’s why we encourage a reflected and intentional approach to banking. We ask ourselves—and we encourage our members to ask—the tough questions: What are the social, environmental, and economic challenges of the communities we serve? What can we do as a bank to address these challenges? What kind of change do we want to see in the world? And importantly, where do we draw the line to ensure we’re not harming the environment or creating inequity?
Conventional banks might ask similar questions, but they often arrive at different answers—answers that reflect their own values and what matters most to them.
How do you assess membership and ensure that your members are truly values-based?
We use a structured tool called the GABV Scorecard to evaluate where financial institutions are on their journey toward values-based banking. This Scorecard helps us assess new members and stay engaged with existing ones, though it can be applied to any financial institution. In values-based banking, there’s no absolute right or wrong. What we focus on is understanding how a bank reflects its values and integrates them into its daily operations. We want to see how they balance the social and environmental needs of the communities they serve with the need to remain financially resilient. The Scorecard takes a holistic approach, considering both quantitative metrics and qualitative aspects of the business model.
What are the themes or issues that are most interesting and relevant to your member banks right now?
Several themes are front and center for our member banks at the moment. Transformation is a big one—how to navigate and lead in a changing financial landscape. Impact measurement is also key; we’re all looking at how to quantify the positive impact we’re making. Social equity and inclusion are increasingly critical, as is biodiversity. And then there’s technology and AI—how these advancements play out within values-based banking is something we’re watching closely.
If you could wave a magic wand and change one thing about the financial system, what would it be and why?
If I had a magic wand, I’d focus on internalizing externalities—essentially making sure that the costs of negative impacts, like environmental damage, are borne by those who cause them, rather than society at large. This would go a long way in terms of making the financial system more inclusive and sustainable. I’d limit the profits that can be paid out to shareholders to ensure the stability and resilience of the system. And I would implement diversity requirements in terms of skills, gender, and other relevant criteria at the governance level within financial institutions. I’d like to see capital markets restructured so that impact and sustainability, rather than just risk and return, drive investment decisions. And I’d require financial institutions to report transparently and in a way that’s easy for shareholders and depositors to understand where their money is going and what impact it has.
What are some concrete actions you would like to see non-member banks in the industry at large take to be more values-based?
First, it’s crucial for non-member banks to recognize that impact and sustainability are not just side topics—they’re strategic priorities. These issues can’t be relegated to a CSR officer; they need to be an integral part of the strategy discussion at the board level. Tools like ESG, greenhouse gas accounting, and TCFD are useful, but what really matters are the conclusions the board draws from these instruments and how they shape corporate strategy.
Boards should spend as much time discussing values, purpose, and impact as they do on compliance and risk management. This isn’t just about making the organization more sustainable; it’s also about differentiation and strategic positioning—core tasks of any board. Along those lines, boards should regularly review whether they have the right mix of skills and the necessary diversity. The same goes for the leadership team, which needs to carry forward a values-based strategy and establish a culture that will ensure success.
Finally, I’d encourage any bank interested in learning more about values-based banking to reach out to us at the GABV. We’re always happy to engage and share our insights.
