The worldwide virus outbreak in 2020 had many ripple effects for both private individuals, business actors, nations and the global community. At the start of 2022, the last covid restrictions were lifted and society prepared for a more normal everyday life. Instead, the unthinkable happened. Russia invaded Ukraine and war in Europe was a fact.

The consequences for the Ukrainian people are indescribable, and we have been reminded how important it is to cooperate and unity. Not least internationally, but also in our own local community, where we have welcomed and included the victims of war in society. Together we are stronger.  

The war has also had ripple effects for large parts of the world. Shortages of goods, energy crisis and price rises have affected the whole of Europe. Over the past year, there has been a marked decline in Norwegian households' finances – a decline that is greater than during the pandemic. Almost all households have noticed that the cost of living has increased throughout 2022. Despite this, we find that both private individuals and businesses have the will and ability to adapt to new conditions.

Committed, close and energetic

The savings bank model is 200 years old and is based on the belief that the community is stronger than individuals. We have a common destiny with everyone who lives and runs a business here, and our long-term goal is to strengthen future value creation in the region.  

Our community involvement has probably never been more important than it is right now. A key part of the Bank's social mission is to be a source of funding for private individuals and businesses.  

"Social development is completely dependent on a well-functioning business community that is able to think innovatively and adapt, and that creates jobs in both rural and urban areas."  

Business flair is one of our contributions to stimulating business development in the region---. It is an accelerator program for entrepreneurs with innovative ideas, and is now being held for the 6th time. Through a series of gatherings, the participants get a unique competence journey in everything from customer understanding to sustainable business models, law, pitch, brand and more. This year's winner of Næringsteft will receive NOK 1 million, and will be announced during our investor seminar Børs and Bacalao in March.

Through our work with the allocation of funds for non-profit purposes, our social responsibility is actualized. Figures from the Savings Bankers' Association show that the country's savings banks and savings bank foundations distributed as much as NOK 2.3 billion to socially beneficial purposes in 2020. This makes the savings bank industry one of Norway's largest private contributors in sports, culture and volunteering. Over the past 10 years, Sparebanken Møre has contributed well over NOK 1 billion to small and large initiatives that have helped to preserve and build Northwest Norway.  

An important part of our social responsibility is to contribute to activities and initiatives that benefit children and young people. Of the individual awards in 2022, we are particularly pleased and proud to have contributed to the realization of the construction of the Varde Centre at the hospital in Ålesund. With the centre, our county will have a full-fledged cancer service.  

Nor do we want a society where some young people are outside and some are inside. Therefore, it is very nice to be able to contribute to Dale Oen Academy being established in Ålesund. This is an alternative school year for young people between the ages of 15 and 20, who have dropped out of school, want a ripening wound before upper secondary school, or as preparation for working life. At the academy, it's all about real research, technology and outdoor life. Between 80 and 90 percent of the students complete Dale Oen Academy. 95 per cent of these go to upper secondary education in school, as apprentices or into jobs.

Healthy banking operations, skilled employees – and not least the fact that many have chosen Sparebanken Møre as their banking connection have made this possible. Without customers, we would not have created results, and without results, we would not have had a profit to distribute.

A vote of confidence

The bank has had solid growth and positive development through 2022. Many new customers have shown confidence in us, and lending growth was 8.8 per cent. For the retail market, 6.9 per cent and 12.7 per cent for the corporate market. This testifies to a good level of activity in the region. "At the same time, few bankruptcies and low default rates testify to an adaptable business sector with strong corporate cultures, adaptable employees and forward-looking business leaders.  

I take this as confirmation that we have a robust customer portfolio and a strong drive to create value. Not least, it confirms the strength of the bank's business model, which is based on proximity and local knowledge, close follow-up and a high level of expertise.

For us at Sparebanken Møre, it has always been important to be good sparring partners for our customers. To be able to be a discussion partner for everything from entrepreneurs, sole proprietorships and cornerstone companies. Every day , we are in contact with a wide range of companies, which gives us a unique industry expertise that in turn benefits the business community.  

With the establishment of Næringsbasen in 2021, we gathered a group of skilled advisors with different expertise to assist small and medium-sized corporate customers with everything from establishment to financing and insurance. Our customers have greatly appreciated this. In 2022, 1,276 new AS were established in Møre og Romsdal. As many as 26 per cent of these chose Sparebanken Møre as their bank.  

Digitalisation and good advice

Competition for bank customers is tougher than ever, but competition is good. We have to deliver the goods and add value to be our customers' first choice. In recent years, there has been what can be called a generational shift in the bank. In 2022, we gained 50 new employees, and over the past three years, the number has exceeded 100. We can safely say that we have invested in resources, and I am pleased that we are constantly attracting bright minds who can contribute to the work of creating good experiences for our customers.

In order to be an attractive employer, both for existing and future employees, we make sure that each employee is involved, respected and given the opportunity to influence and develop. We experience a strong collegial community that we must take good care of. That is the very core of Team Møre.

In Norway, we have a well-developed digital infrastructure, and the population has a very high level of digital competence. "This digital expertise has meant that we have adopted solutions few other countries have been able to. The banking and financial sector is among the most digitalised industries, and savings banks are at the forefront of technological development. Digitalization continues at high speed.  

In 2022, we have launched a number of new self-service services, in particular, good work has been done in the area of financing for the personal customer market. Another exciting project is what we call the family bank. The first delivery here is a solution that makes it possible to set up a savings account for your children in one-two-three, right from your mobile.

At the same time, it is important to facilitate and make visible the bank's service offerings for non-digital customers. "According to a survey from Kompetanse Norge, 120,000 of those over the age of 60 do not use the internet, and 600,000 have weak digital skills. Now, a new industry norm will clarify how banks should meet non-digital customers.

Listening is learning 

Through our close dialogue with customers, we gain good customer insight. In addition, surveys conducted by external actors are important sources of insight. In April, Sparebanken Møre's customer centre was named Norway's best in the banking category, for an impressive fourth year in a row.   EPSI's survey also showed that Sparebanken Møre ended up in the top tier in its annual survey of customer satisfaction among Norwegian bank customers, and received the highest score of all on questions related to sustainability and corporate social responsibility for the second year in a row.

Such results make us both proud and happy, and confirm that we are a relevant and attractive banking partner. Nevertheless, we are grateful for all constructive input that can help lift us further. We never put our development work on hold.

Everyone must contribute to the green transition 

Norway aims to reduce greenhouse gas emissions by 50-55 per cent by 2030 compared with 1990 levels, and the financial industry has a key role in this work. There is little doubt that this will require a significant effort from all of us. The fact that everyone contributes is important to us when it comes to the bank's efforts to contribute to a more sustainable society.

In 2021, we took several steps that can help accelerate the pace of change. In February 2022, we followed up with the launch of a sustainability portal for companies. In the portal, they will find tailored information sorted by industry, and with the new portal, we want to help make sustainability work easier and more targeted for companies. In December, the Eco-Lighthouse Foundation confirmed that Sparebankens Møre's head office has been approved for Eco-Lighthouse certification.

We have a stated goal of being a driving force for sustainable development of our region, and as a bank we can facilitate the meeting of funds and opportunities. It is a responsibility we take very seriously.  

Preparing for the future

The organization is the tool and the people are the success factor and the power of the organization. In order to equip ourselves for further growth and development, we have assessed and evaluated the organization through the strategy work. This resulted in a reorganization that aims to build an even more efficient organization that is future-oriented, market-driven and development-oriented. The new organisation will come into force from 1 February 2023.

With good liquidity, solidity and a new organization, we are ready to continue the 180-year history. Our strong regional affiliation gives us advantages that we must cultivate, while the savings bank model creates opportunities that we must seize. This makes me confident that the next chapters in Sparebanken Møre's history will also be filled with good content and that we will continue to be a driving force for the joy of creation both in 2023 and in the years to come.

Trond Lars Nydal

Managing Director