Speeches

Corporate Social Responsibility: The Zenith Bank Example

Sep 5, 2008 - I want to welcome you all to this memorable occasion. Today’s event underscores the importance of our belief in public-private partnership. It gladdens my heart that Zenith Bank, a major player in the Nigerian banking industry has demonstrated, in clear terms, how a corporate citizen can partner with government in infrastructural development. This gathering is in recognition of Zenith Bank’s laudable effort of adding value to the life of the business community. It surely makes business sense not just to be socially responsible but to make a serious social mission intrinsic to one's business, and then it will be talked about, studied, and publicized. Nothing travels faster than a success story. I am quite optimistic that if a few businesses can set an example here, we as government will surely recognize it. Society as a whole will fully appreciate it and this will greatly improve our environment for all our benefit. Furthermore, this will encourage all of us to participate in the much needed improvement of our beloved State.

This administration recognizes that the engine of growth and development for any developing nation today lies in the ability to strategically cultivate and harness private as well as public sector effort, thereby opening up vistas of opportunities for the public-private partnerships that will contribute not only to the millennium development goals but also the nation’s overall development. Zenith Bank’s rehabilitation and beautification of Ajose Adeogun Street in Victoria Island, a 1.3 kilometer dual carriage way, including the roundabout linking other streets, is a clear demonstration of good corporate social responsibility and citizenship. The entire street inclusive of the roundabout is always illuminated at night through an alternative power source. The landscaped area is constantly maintained. I must say that Zenith Bank’s complete rehabilitation of Ajose Adeogun Street and the adjoining roundabout is a laudable effort worthy of emulation. I congratulate you for this gesture and thank you on behalf of the citizens of this State. Clearly you are a leader in the sphere of corporate social responsibility.

Corporate social responsibility (CSR) means different things to different organizations. For the purpose of this gathering, may I state that true corporate social responsibility entails an organization considering the interests of society by taking responsibility for the impact of its activities on customers, suppliers, employees, shareholders, communities and other stakeholders, as well as the environment. This obligation is seen to extend beyond the statutory obligation to comply with legislation and sees organizations voluntarily taking further steps to improve the quality of life for the local community and society at large. Corporate responsibility is a genuine attempt by a company to build meaningful relationships and goodwill between the corporate sector and the rest of society. Corporate responsibility is achieved when businesses adapts all of its practices to ensure that it operates in ways that meet, or exceed, the ethical, legal, commercial and public expectations that society has of business.

The practice of CSR has been subjected to much debate in recent past. There is a strong business case for CSR, in that corporations benefit in multiple ways by operating with a perspective broader and larger than their own immediate, short-term profits. To be considered effective, corporate responsibility must be an integrated part of day-to-day business, engaging all stakeholders and including strategies to support individual managers to make socially responsible decisions, conform to ethical behaviour and obey the law.

In shaping the future of our country, we all need to explore the domain of corporate social responsibility. We all have a huge task, whether as large corporations, government, communities, individuals, young and old. We all have a stake in shaping our communities.

May I use this medium to call upon other corporate organizations to engage in collaborative effort with stakeholders in the communities in which they operate. It is very obvious that building a nation we can be proud of will take more than the effort of the Government at all levels. This therefore calls for an era of active corporate participation in national development. Government on its part will always seek ways to compensate and encourage corporate organizations that opt to be socially responsible as Zenith Bank glaringly demonstrates today, whilst not forgetting to create an enabling environment in which businesses will thrive and be successful. Hence this agreement with Zenith Bank, whereunder the bank shall enjoy lucrative long term exclusive branding and advertising rights within the rehabilitated area.

May I in this regard leave you with the profound words of Kofi Annan, former UN Secretary-General who said: “It is the absence of broad-based business activity, not its presence that condemns much of humanity to suffering. Indeed, what is utopian is the notion that poverty can be overcome without the active engagement of business”.

Thank you for your kind attention.

Eko O Ni Baje!

Babatunde Raji Fashola (SAN),
Executive Governor,
Lagos State