Material matters are those issues that can potentially impact the Bank’s financial performance and social license to operate as well as its ability to create value for the stakeholders over the short, medium and long term. These material matters are identified based on the feedback received from our stakeholders and the changing operating environment which may pose risks and opportunities affecting the Bank's operations. These material issues (economic, social and environmental factors) are assessed annually to determine their significance and address them appropriately to manage their impacts. There are no significant changes to the list of material topics and topic boundaries compared to the previous year.

Determining Materiality

We have followed the following steps in determining material topics relevant to SDB bank.

Material Aspects Relevant to SANASA Development Bank

	Aspect/Material Topic	Material Matters of Concern to SDB bank	Level of Importance			SDGs
			To Stakeholder	To The Bank
1	Finanacial performance and the profitability	Ensure continued growth and profit generation under the current uncertain operating environement	H	H
2	Customer Service	Maintain enhanced customer service to retain a satisfied customer base	H	H
3	Customer privacy	Protection of customer information to increase customer confidence	H	H
4	Responsible lending	Practice fair and responsible lending to avoid unsustainable financial decisions/agreements	H	H
5	Inclusive lending	Provide access to affordable and quality financial services for rural masses	H	H
6	Operational efficiency	Resource optimisation to achieve business objectives	M	H
7	Employee skill development	Having a skilled and competitive workforce that will provide the competitive edge that is necessary to drive growth	H	H
8	Environmental consciousness	Ensure commitment to preserve the environment to minimise its impact on climate change, adopt initiatives for the same	M	M
9	Facilitating digital inclusion	Provide access to digital banking facilities for the rural masses	H	H
10	Corporate Social Responsibility	Contribute to uplift the communities to encourage their economic progress	M	M
11	Right talent acquisition and retention	Aquire the right talent and skills drive sustinable growth of the Bank	M	H
12	Regulatory environment	Changes in the regulatory environment may pose threats or opportunities	M	H
13	Forming Partnerships	Forming buisness alliances will create better opportunities and situations for value creation	M	M