Table of
contents
3 Introduction
8 Sustainability
12 ESG
23 Our stakeholders
31 Engagement
37 Governance
38 Key takeaway and events
40 Progress on Sustainability Development Goals
Introduction
Letter to our stakeholders
Dear Reader,
It is with great pride that I present our Corporate Responsibility Report for 2025. This year's report follows the structure of previous years' reports and reflects Føroya Banki Group's sustainability situation, as well as our annual Communication on Progress (COP) on the agenda and our targets in the future.
Our commitments remain clear: we support the UN Global Compact principles, meet the Faroese Financial Statements Act's requirements on human rights, labour rights, the environment, and anti-corruption, and we align our targets with the Paris Agreement. These guide us as we continue to integrate sustainability across our operations.
In 2025, we remain on track to eliminate direct emissions (Scope 1) by year end and continue working toward reducing electricity and heating emissions (Scope 2) by 2030, which is dependent on our vendors´ progress toward green production. Collaboration with different partners is also strengthening the quality
of our Scope 3 data, enabling us to establish a high-quality data foundation that enables us to plan for future improvements. While the implementation of the Corporate Sustainability Reporting Directive (CSRD) has been paused due to the EU Omnibus decision, we will monitor developments closely while maintaining a transparent and consistent reporting approach.
This year, we reassessed our Environment, Social and Governance (ESG) key figures to set new 2030 targets. Since 2020, our ambitious goals have guided us through a valuable learning process many of our 2025 targets have been achieved, and others are within reach. Drawing on these insights, we have refined our 2030 targets to improve our ESG impact even further.
Internally, we continue to prioritise employee development, inclusion, and work-life balance. Our sustainability training and initiatives for gender equality and flexibility underline our belief that people are central to progress
for Føroya Banki Group and beyond.
We acknowledge the challenges of climate change, inequality, and global uncertainty, yet remain confident that our long-standing commitment to responsible business and sustainability practices positions us to navigate them effectively.
Thank you for your continued trust and support as we work to create long-term value and strengthen our communities in the Faroe Islands and Greenland towards a future that enables people to focus on what matters most.
Warm regards Turið F. Arge
Chief Executive Officer Føroya Banki Group
Introduction
Beyond a financial institution
As a financial institution, we serve individuals, businesses, and corporations in the Faroe Islands and Greenland, offering expertise in banking, pensions, real estate, and insurance. With a team of more than 200 dedicated professionals, we provide comprehensive services and strive to be recognised as a trusted and long-term partner.
In Greenland, our activities are carried out under the Bankivik brand, where we continue to see strong growth potential. In the Faroe Islands, we operate under the Føroya Banki brand for banking, Trygd for insurance, and Skyn for real estate services. Together, these entities reflect our commitment to providing tailored solutions to the communities we serve.
But our role extends far beyond finance. We build lasting relationships with customers and communities, supporting them in reaching both financial and sustainability goals. The Group aims to make it easier for our customers to make space for the things that are important,
and our purpose is to co-create a future where financial security enables people to focus on what matters most.
Sustainability remains at the heart of our strategy. We are committed to supporting the transition toward a greener future, ensuring transparency, accountability, and alignment with stakeholder expectations. With more than a century of experience, we continue to be a reliable partner-fos-tering close relationships, honouring local commitments, and upholding strong credit practices.
Learn more in the following sections.