Is It Tomorrow Yet? Paradoxes of the Pandemic, London Et Al.: Allen Lane 2020, P.71
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DIE ERSTE österreichische Spar-Casse Privatstiftung Annual Report 2020 Annual Report Privatstiftung Spar-Casse österreichische Is It Tomorrow Yet? “Covid-19 has infected the world with cosmopolitanism, while turning states against globalisation.” IVAN KRASTEV Is It Tomorrow Yet? Paradoxes of the Pandemic, London et al.: Allen Lane 2020, p.71 Content A Major Transformation 4 A Year Like No Other 6 ERSTE Foundation: Two Important Tasks 8 Solidarity in Times of Crisis Covid-19 – Trash 20/21 12 Bridging Loans for NPOs 16 CEE Solidarity Fund 18 Solidarity Belarus 24 Financial Health For All We Are All Part of the Economy 34 FLiP Entrepreneurship Challenge 38 Zweite Sparkasse Expanded its Range of Services 40 At the Heart of Responsible Banking 42 Empower Those Who Care Two Next: It Starts in the Analogue World 50 Preserve a Democratic Europe Niccolo Milanese: Europe’s New Territorial Politics 58 Media Freedom. Few Good Stories to Tell 66 Gerald Knaus: Empathy 68and Control Are Not Mutually Exclusive Protect Contemporary Culture Edi Hila: A Tent on the Roof of a Car 72 The Igor Zabel Award 2020 Went to Ljubljana! 80 ERSTE Foundation Network What Happened in 2020? 86 The Call 92 ERSTE Foundation Library 98 Financial Statements 2020 105 Notes to the Financial Statements 2020 111 Status Report 2020 125 Association Members of “DIE ERSTE österreichische Spar-Casse Privatstiftung” 132 Boards and Team 134 Publishing Details 136 3 Photo: Jakob Polascek Jakob Photo: A Major Transformation ost of us have always known it; others had freedom of movement, freedom of assembly, the to learn it the hard way last year: physi- right to education and the right to meet other Mcal health is the most valuable asset in our people, especially those closest to us, were tem- lives. In 2020, people in Europe and around the porarily suspended. Entire industries suffered world faced the biggest health crisis since World enormous economic slumps due to imposed clo- War II and the first pandemic since the Spanish sures. The dynamics of globalisation suddenly had flu about a hundred years ago. Millions of peo- a downside: chains of infection stretched across ple have died and many more have fallen ill. By continents, while supply chains were abruptly the time this report is published, in the first half disrupted. With borders closed, important goods of 2021, we’re still not quite out of the woods. were unavailable in the short and medium term. Due to the restrictions needed to contain it, the Theatres, museums, and concert halls remained health crisis soon became an economic crisis with empty, and access to culture was blocked. far-reaching economic and social consequences. At the same time, many of us were amazed to see As a result, we learned that what is possible when things financial health is the second Financial health is the second get serious. The crisis gave an most valuable asset for us in- enormous boost to digitalisa- dividually but also for entire most valuable asset of our life. tion, which enabled bridging societies. Physical and finan- solutions for home schooling cial health are also closely intertwined. Illness and working from home, but also innovative for- often leads to economic hardship, and financial mats of collaboration and tools for maintaining worries often trigger physical or mental prob- access to arts and culture. Systemically important lems. In both cases, prevention is the best med- services continued to run smoothly, cashless pay- icine. ment was increasingly accepted, and medical re- At this time when the coronavirus pandemic un- search delivered results in record time. The most expectedly left masses of people unemployed or frequently cited positive effect of the Covid-19 in a precarious economic situation, ERSTE Foun- crisis is the seven per cent (2.4 billion ton) drop dation took a major step forward in its focus on in global CO2 emissions in 2020 compared to the “financial health”. Together with key stakeholders, previous year. we set up the Foundation for Economic Literacy We are witnessing a major transformation in so- last year to help enhance general economic liter- ciety. After overcoming the pandemic, we will not acy throughout Austria and integrate economic return to a pre-crisis state. ERSTE Foundation and and financial education into school curricula. Eco- the entire civil society, but also banks, must and nomic literacy is the primary factor in providing will seize the opportunities that this crisis pre- for a financially healthy life. sents. The digital world must also be accessible to In addition to threatening our health and the NGOs, for example (something we are working on economy, the coronavirus pandemic also had a with the start-up Two Next). In view of the solu- major impact on other spheres of life. As a result tions we urgently need to tackle the climate crisis of emergency decrees, we had to accept severe and the social and societal upheavals in its wake, restrictions to fundamental democratic rights: the foundation will have to break new ground 4 both as a partner of committed NGOs and social practitioner who heads Erste Group’s health cen- enterprises and as a responsible shareholder of tre, has been contributing her expertise on physi- Erste Group. cal and financial health to the ERSTE Foundation For Erste Group, the pandemic has shown the im- board, as well as her knowledge of the impact of portance of providing face-to-face customer sup- social problems on individual people’s health and port and individual solutions in crisis situations. the resilience of social groups. She is head of the Apps are not the answer to everything. Financial scientific advisory board of the Austrian Acad- service providers will have to provide even more in- emy of Occupational Medicine and Prevention dividually tailored services in the future if they want and was also appointed a spokesperson for the to survive. In its role as owner, ERSTE Foundation “Österreich impft (Austria vaccinates)” initiative, will ensure that the business purpose of its bank which provides information to the population combines effectiveness and public spirit. In return, about the benefits and risks of coronavirus vacci- it enables one of the largest financial service pro- nation, in early 2021. viders in Central and Eastern Europe to rely on a I was deeply saddened by the completely unex- solid ownership structure in uncertain times. pected passing of Peter Pichler. He was a par- During the pandemic, banks played a key role in ticularly committed member of the supervisory disbursing government subsidies to the business board whose valuable contributions based on sector, and they will be needed as competent many years’ expertise as an entrepreneur have partners in the coming period to handle the huge greatly benefited our work. We miss his voice and investment volumes provided by the European his wise observations. As planned for some time, Green Deal and other stimulus programmes de- Philipp Thurn und Taxis was appointed a mem- signed to help businesses emerge from the cri- ber of the supervisory board at the association’s sis stronger and sustainably. At the same time, meeting on 30 November 2020. I am very much banks are under close scrutiny from regulators. looking forward to working with him. Early on, the European Central Bank recommend- I would like to sincerely thank Mario Catasta ed that banks suspend or limit dividend pay-outs (CEO) and Boris Marte (Deputy CEO) as well as for 2019 and 2020. ERSTE Foundation had suffi- Eva Höltl and Franz Portisch and all employees cient reserves to cushion the loss of its dividend for their work in this extraordinary year and hope payment in 2020 and was even able to provide you, and all of us, will stay healthy – both physi- special grants to NGOS that were hit particularly cally and financially. hard by the pandemic. Erste Group already made sufficient provisions for possible loan losses at the beginning of the Andreas Treichl pandemic. The good news is that the prospect of Chairman of the Supervisory Board the development of life-saving vaccines in record time was enough to stimulate economic growth in many industries and many countries in Central Supervisory Board Members and Eastern Europe. We are confident about the Andreas Treichl economic future of Erste Group and ERSTE Foun- Manfred Wimmer dation after the pandemic is over. Bettina Breiteneder The ERSTE Foundation supervisory board’s de- Ilse Fetik cision to appoint a health expert to the founda- Maximilian Hardegg tion’s managing board in March 2020 – even be- Barbara Pichler fore the World Health Organisation had declared Johanna Rachinger the Covid-19 crisis a pandemic and Austria had Philipp Thurn und Taxis announced the first lockdown – was indeed a Markus Trauttmansdorff timely move. Eva Höltl, an occupational health 5 The managing board of ERSTE Foundation: Mario Catasta (CEO), Eva Höltl, Franz Portisch, Boris Marte (dep. CEO) Photo: Peter M. Mayr A Year Like No Other van Krastev sees a paradox in the coronavirus safe and continued cooperation with the numer- pandemic’s impact on the world (“Is it tomor- ous initiatives and partner organisations, while Irow yet?”): although in 2020 we were supposed we – like many others – had to prepare for times to keep as much distance from each other as possi- of financial uncertainty. From the first moment of ble and borders were closed temporarily, we all felt the crisis, our aim was to lay the foundation for a more than ever, perhaps for the new beginning. first time in history, that we are inhabitants of one world, fateful- From the first moment of Many projects were ly connected, united in the fight the crisis, our aim was to lay unable to implement their against the virus.