Akbank T : Integrated Annual Report 2021

2021

Akbank Integrated Annual Report

While we offer the banking of the future to our customers today, we draw strength from our technological infrastructure and the expertise of our people.

We lead the industry with our trust-based banking approach, solid financials, and innovative products we offer to our customers.

For the transition to an inclusive and green economy, we continue to support our customers and all other stakeholders without slowing down.

We take responsibility to create a better world and support initiatives that support this vision.

In order to leave more livable earth to the future generations, we are reshaping the way we do business.

We are proud to be among the pioneer banks that set long-term sustainability targets.

Contents

04 About the report

06 MESSAGES FROM TOP MANAGEMENT

1. Message from the Chairman

1. Message from the CEO

1. AKBANK FOR YOU
2. Akbank and our History

in Brief

20 Corporate Profile 20 Our Vision

20 Our Mission

20 Our Values

21 Our Strong Foundations

21 Our Strategic Goals

22 Our Establishment Information

22 Our Capital Structure

22 Amendments to the

Articles of Association

1. Our Shareholder Structure
2. Akbank's Activities
   24 Corporate and Investment Banking
   29 Commercial Banking
   30 Retail Banking
   36 SME Banking
   42 Private Banking and Investment Services
   46 Digital Banking and Payment Systems
   54 Strategy Applications
   56 Treasury
   58 Credit Allocation
   59 Our Technological

Infrastructure and

Operations

64 Our Subsidiaries

64 Akbank AG

65 Ak Investment

66 Ak Asset Management

68 Ak Lease

69 Ak Öde

1. Our Organizational Structure

1. The Economic Value We Create
2. Ordinary General Assembly Meeting Agenda
3. Compliance Opinion Regarding Annual Activity Report

1. CORPORATE GOVERNANCE

1. Akbank Corporate Governance

1. Our Board of Directors

1. Advisor to the Board of Directors and Chairman of the Inspection Board
2. Our International Advisory Board

1. Our Senior Management

1. Our Affiliates

1. Changes in Our Organizational Structure During the Year

1. Our Board Committees

1. Our Summary Board Report
2. Information on People and Organizations from which We Receive Support Services

1. Transactions with the Risk Group that Our Bank is Included In

1. Our Loyalty Report
2. Other Disclosures on Corporate Governance

1. Our Reports on Compliance with Corporate Governance Principles

1. Statement of Responsibility
2. Our Policies

1. Our Risk Management and Regulatory Compliance
   125 Market and Counterparty Credit Risk
   125 Liquidity Risk
   125 Interest Rate Risk
   126 Credit Risk
   127 Operational Risk
   127 Legal Risk
   127 Other Risks
   127 Reputation Risk
   127 Clean Banking Risk
   127 New Product and Service Evaluation Process
   127 Privacy and Information Security Risk
   128 Information Security Management

1. Our Control and Audit Infrastructure

1. Audit Committee Report

INTEGRATED ANNUAL REPORT 2021

139	OUR SUSTAINABILITY	208	The Future of Work	250	CLIMATE CHANGE
	JOURNEY		209	Development	256	Our Fight Against Climate
140	Our Materiality Issues		211	Career Opportunities		Change
142	Our Strategic Focus Areas		211	Learning from Each	258	Our Operational Greenhouse
144	Our Sustainability			Other		Gas Emissions
	Management	212	Diversity and Inclusion	262	Our Recycling-Focused
150	Relations with Our	216	Our Strong Interaction with		Approach to Environment
	Stakeholders		our Stakeholders	264	The Impact of Our Portfolio
154	Our Sustainability		217	Our Purchasing
	Performance			Approach	267	FINANCIAL INFORMATION
156	The Evolution of Our	218	Volunteering		AND RISK MANAGEMENT
	Sustainability Efforts	219	Social Investments	268	Summary financial results
158	Our Value Creation Model		221	Our Culture and Art		for 2021 and the Bank's
166	Awards			Activities		Future Expectations
168	Akbank through the Eyes of				269	Evaluation of Financial
	Our Stakeholders	225	ECOSYSTEM MANAGEMENT		Situation, Profitability and
		229	Digitalization and Innovation		Solvency
170	CRISIS MANAGEMENT AND		229	Open Banking	270	Our Credit Ratings
	OUR FIGHT WITH COVID-19		231	Akbank Mobile	271	Our Five-year Summary of
173	Our Employees		231	Digital First		Financial Information
175	Our Customers		232	Akbank Cebe POS App	271	Explanations on Matters after
176	Our Society		232	Akbank Innovation		the Balance Sheet
177	Service Interruption on			Centre	272	Auditor's Report on the Early
	6-7 July 2021	236	Financial Inclusion		Detection of Risk System and
			237	Financial Literacy		Committee
179	SUSTAINABLE FINANCING		237	Environmental Card	273	Prominent Legislative
183	Responsible Products and		238	Our SME Inclusion &		Regulations in 2021
	Services			Thematic Banking	283	Financial Statements and
	184 Green Financing		239	Youth Banking		Notes to Financial Statements
	186 Social Financing		240	Our TOSLA Application		for 2021
			240	Our Accessible Banking	543	Changes to the Articles of
188	Sustainability-Related			Approach		Association
	Borrowing		242	Our Customer	545	Profit Distribution
190	Our Environmental and Social			Experience and
	Credit Policies			Satisfaction Studies	546	ANNEXES
194	Impact Investing		242	Next Generation Sales	548	Assurance Report
				and Service Design	552	Reporting Guide
196	PEOPLE AND COMMUNITIES		243	Creating More Added	557	Memberships
201	Our Qualified Human			Value with Robotic	558	Our Performance Tables
	Resources			Process Automation	561	Integrated Report Mandatory
	203 Our Maternity Leave		243	1001 Idea Suggestion		Statement List
	Applications			System	564	GRI Content Index
	204 Full Compliance with		243	Improvements For You	570	Women's Empowerment
	Legal Notification		244	Analytical Change		Principles (WEPS)
	Processes for Our			Management		Progress Report and GRI
	Employees		244	Akbank Design Office-		Content Relationship
	204 Opportunities We			Employee Applications	571	Our United Nations Global
	Provide to Employees			Design		Compact Index
206	Our Occupational Health and		245	Customer Experience	572	United Nations Sustainable
	Safety Practices			Management		Development Goals and
	207 Our Health and Safety		246	Clean Banking		Akbank
	Performance		246	Customer Satisfaction	573	Principles of Responsible
	207 Work-Life Balance and		247	Customer-Focused		Banking Impact Report
	"İyi Bir Sen" Well-Being			Service Management
	Program	248	Customer Data Privacy		CONTACT DETAILS