ESG

KUALA LUMPUR : Maybank has extended its first green loan in Malaysia to Altervim, the renewable energy arm of Thailand’s Charoen Pokphand (CP) Group, marking a significant step in the bank’s regional sustainable finance strategy. Serving as the sole bilateral lender, Maybank is financing Altervim’s rooftop solar initiative as the company enters the Malaysian market. This collaboration underscores Maybank’s commitment to supporting the energy transition and advancing the sustainability agenda throughout ASEAN. In its initial rollout, the project will see solar photovoltaic systems installed across 28 Lotus’s Malaysia retail outlets, with a targeted installed capacity of up to 20 megawatts (MW). The initiative is projected to generate approximately 24.65 million kilowatt-hours (kWh) of renewable energy annually and reduce an estimated 433,958 tonnes of carbon dioxide emissions over the course of its operational life. Datuk John Chong, Group Chief Executive Officer of Global Banking at Maybank, reaffirmed the bank’s longstanding relationship with CP Group and its aligned vision for a low-carbon economy. “We are proud to support Altervim’s market entry into Malaysia while also contributing to the national energy transition agenda to enhance the renewable energy mix,” he said. “The financing facility, structured under Maybank’s Sustainable Product Framework, represents a strategic addition to our growing sustainable finance portfolio.” As of the first quarter of 2025, Maybank has mobilised RM125.46 billion in sustainable finance across the region, exceeding its original RM80 billion target set for the full year of 2025. Borvorn Pienpongpanich, Chief Financial Officer of Altervim, described the green loan as a strategic milestone in the company’s regional expansion. “This partnership with Maybank strengthens our ability to scale clean energy deployment in Malaysia, one of our key growth markets,” he said. “It enables us to deliver measurable carbon reductions and support businesses in managing energy costs sustainably. We value Maybank’s support and are committed to building a resilient and sustainable future together.” The project is emblematic of both organisations’ shared commitment to accelerating decarbonisation and fostering sustainable development throughout Southeast Asia. -NST

KUALA LUMPUR: RHB Islamic Bank Berhad has entered into a strategic three-year memorandum of understanding (MoU) with AsiaEvents Exsic Sdn Bhd, the organiser of the Malaysia International Dive Expo (MIDE), formalising its role as the exclusive banking partner of the event through to 2027. The signing ceremony was held at the Malaysia International Trade and Exhibition Centre (MITEC) in conjunction with the opening of MIDE 2025. This agreement reinforces RHB Islamic Bank’s sustained commitment to marine conservation under its flagship Ocean Harmony programme. Datuk Adissadikin Ali, Managing Director and Chief Executive Officer of RHB Islamic Bank, said the collaboration underscores the bank’s environmental focus within its broader environmental, social and governance (ESG) agenda. “We are not attempting to be everything to everyone. As a bank with finite resources, we have chosen to prioritise one critical aspect of the environment – the ocean,” he stated. “We are not promoting diving as a sport; rather, diving offers a means of understanding and communicating what lies beneath the surface. That is the essence of Ocean Harmony.” Established in 2019, Ocean Harmony is a value-based intermediation initiative aimed at supporting awareness, research, and preservation of Malaysia’s marine ecosystems. It is also aligned with the United Nations Sustainable Development Goal 14: Life Below Water. In 2025, the bank has collaborated with six Malaysian entities to further this cause. These include Universiti Malaysia Terengganu, Universiti Malaya, Universiti Malaysia Sabah, Ocean Ranger, One Heart Environment, and University Malaya Medical Centre. During the event, RHB Islamic Bank also introduced the Limited Edition RHB Visa Ocean Harmony Multi-Currency Debit Card-i. The card is designed to simplify international transactions, particularly for frequent travellers. “Travellers often encounter similar challenges – managing leftover foreign currency or locating exchange facilities. This card addresses those issues by eliminating the need for physical cash and enabling seamless transactions in 34 currencies at competitive rates,” said Adissadikin. MIDE 2025 attracted more than 200 exhibitors over the weekend, representing a diverse cross-section of the industry including dive operators, equipment suppliers, tourism boards, and non-governmental organisations. -Bernama

KUALA LUMPUR: Malaysia has received international recognition for aligning its sustainability reporting practices with global standards, according to the Securities Commission Malaysia (SC). The acknowledgement comes via the latest Jurisdictional Profile released by the International Financial Reporting Standards (IFRS) Foundation, positioning Malaysia as the sole ASEAN nation recognised for adopting the International Sustainability Standards Board (ISSB) Standards under a limited transition framework. This distinction reinforces the credibility of Malaysia’s National Sustainability Reporting Framework (NSRF), launched in September 2024. Developed by the Advisory Committee on Sustainability Reporting (ACSR), the NSRF represents a significant milestone in the nation’s corporate sustainability agenda. Malaysia’s adoption of the ISSB’s IFRS S1 and IFRS S2 standards incorporates transitional provisions, including a ‘climate-first’ reporting approach and deferred disclosure of Scope 3 greenhouse gas (GHG) emissions. These measures aim to ease the transition for companies at different stages of sustainability maturity. “This approach facilitates a smooth transition to full adoption of the ISSB Standards, while recognising the varying levels and maturity in sustainability practices among companies,” the SC stated. SC Chairman Datuk Mohammad Faiz Azmi noted that the ISSB’s endorsement affirms the nation’s strategic direction in sustainability reporting. “The ACSR welcomes the ISSB’s endorsement, which represents an important recognition of our efforts in using the ISSB Standards as the baseline for sustainability disclosures in Malaysia,” he said. He further acknowledged the challenges entities may face in meeting the rigorous standards set by the ISSB, emphasising the importance of targeted support. To aid organisations in fulfilling the new requirements, the NSRF has rolled out the Policy, Assumptions, Calculators, and Education (PACE) initiative, which provides training, tools, and technical resources. Earlier this year, PACE conducted sessions on interoperability between the ISSB and Global Reporting Initiative (GRI) Standards. Ongoing efforts under PACE include the creation of illustrative sustainability reports and the launch of the NSRF Preparers’ Programme, designed to enhance disclosure competencies. The ACSR also intends to continue sector-specific engagement to support broader and more effective adoption. -Business Times

Bank Negara Malaysia (BNM) is strengthening its commitment to regional sustainability by aligning with Malaysia’s Asean chairmanship theme of “Inclusivity and Sustainability”. The central bank will prioritise two key areas: financing energy transition initiatives across Asean and supporting the low-carbon transformation of small and medium enterprises (SMEs). These focal points were underscored during the recent Asean Finance Ministers’ and Central Bank Governors’ Meeting, held in Kuala Lumpur earlier this month. As part of its efforts to catalyse the region’s energy transition, BNM will play a facilitative role in mobilising funding mechanisms for the Asean Power Grid (APG). Assistant Governor Madelena Mohamed, who leads the central bank’s new strategy and sustainability division, noted that enabling the APG is essential to boosting cross-border electricity trade, particularly for renewable sources. Launched in 2018, the APG aims to establish a connected regional power grid to drive energy security and sustainability. However, realising this vision requires substantial investment in infrastructure upgrades. The Asean Investors Roundtable—held during the same week—served as a platform to convene project champions, investors, and philanthropic capital providers to deliberate on financing modalities, practical challenges, and policy enablers. “This marks an important step towards realising this long-term, highly complex and economically significant infrastructure project,” said Madelena in a written response to ESG. In tandem, BNM is scaling up its Greening Value Chain (GVC) programme, originally launched in Malaysia in 2023, to the broader Asean region. The initiative equips SMEs with tools and financing support to measure and disclose their greenhouse gas emissions. A playbook, Building Supply Chain Resilience: Insights into Greening Value Chains for Asean, was released during the meeting week, drawing on insights from the programme’s rollout in Malaysia. According to Madelena, “We envisage GVC to be rolled out in at least one other Asean country this year, and for the playbook to serve as a key reference by businesses and financiers.” Navigating a Complex Sustainability Mandate Appointed assistant governor in January, Madelena brings 32 years of experience at BNM, most recently serving in its sustainability unit. Acknowledging the growing complexity of climate-related challenges, she emphasised that public and stakeholder trust in the central bank’s stewardship must be matched with decisive and inclusive action. “The stakes are high. Our operating environment is becoming more challenging. The public and other stakeholders trust and expect us to discharge our mandates well, and this should not be taken lightly,” she said. The financial sector remains instrumental in Malaysia’s path towards net zero emissions by 2050. Madelena highlighted that the foundations are already in place, with Islamic financial institutions having taken the lead in sustainable finance. “This provided us valuable lessons that shaped our approach to climate finance and risk management,” she said. BNM’s Joint Committee on Climate Change, launched in 2019 alongside other stakeholders, has evolved into a platform for collaborative innovation in climate risk and finance. “With the foundation in place, we are shifting the gear towards impactful implementation. Realising this ambition requires Bank Negara to work collaboratively with our stakeholders, particularly peer regulators, government ministries and agencies, and industry players.” The bank’s close engagement with regional central banks is evident through its work with the Asean Taxonomy Board. In December 2024, the board released Version 3 of the Asean Taxonomy for Sustainable Finance, the world’s first regional transition taxonomy. Its distinctive “traffic light” system acknowledges firms at various stages of decarbonisation. BNM’s own Climate Change and Principle-based Taxonomy—mandatory for financial institutions—aligns with this regional framework. Internally, the central bank is advancing its own climate transition plan and has implemented a structured capacity development programme to support its objectives. The Asean Investors Roundtable also explored the role of Islamic finance in funding large-scale climate projects. Madelena revealed that RM11.9 billion in Sustainable and Responsible Investment (SRI) sukuk were issued in 2024, a threefold increase from 2021. Under the Values-Based Intermediation (VBI) framework, Islamic financial institutions have channelled over RM26 billion into green and decarbonisation-focused activities. -The Edge Malaysia

MCIS Life, one of Malaysia’s leading life insurance providers, continues to advance its position as a forward-thinking organisation by embedding sustainability at the core of its operations. Under the leadership of Chief Executive Officer and Managing Director Prasheem Seebran, the company has taken bold steps to champion environmental responsibility, social inclusion, and ethical governance. Seebran emphasised that sustainability is not a passing trend at MCIS Life but a fundamental principle guiding its strategies and decisions. The insurer’s sustainability roadmap is rooted in its ambition to address environmental challenges, mitigate climate change, and foster social equity—all aimed at securing a brighter and more sustainable future for generations to come. MCIS Life’s approach is framed around four key pillars: shared value creation focused on socio-economic development and climate change mitigation, integration of Environmental, Social and Governance (ESG) considerations across its operations, financial inclusion to empower underserved communities, and strategic partnerships to drive impact at scale. What distinguishes MCIS Life is its commitment to stakeholder engagement. The company maintains an open dialogue through multiple platforms including customer service centres, employee town halls and consistent communication with regulators and shareholders. This ensures its ESG efforts remain aligned with stakeholder expectations. “By actively soliciting feedback and understanding stakeholders’ evolving needs, we ensure that our initiatives are impactful and relevant,” said Seebran. MCIS Life’s environmental goals include reducing its carbon footprint and enhancing energy efficiency. The company has pledged to achieve net-zero carbon emissions by 2050. A key milestone was the launch of the MCIS Life Legacy Forest at Sireh Park in Johor Bahru in 2023. Over 6,000 endemic rainforest trees have been planted, which are expected to offset around 567 tonnes of carbon by 2029. This initiative reflects the company’s commitment to biodiversity conservation and carbon sequestration. Governance and transparency remain integral to the company’s sustainability strategy. Seebran affirmed that robust governance structures are in place to ensure accountability and compliance with ethical standards. The company provides regular training and awareness programmes for employees to instil a strong culture of transparency, integrity and ethical conduct. MCIS Life also adheres to Fair Treatment of Financial Consumers (FTFC) practices, underscoring its commitment to responsible communication and business operations. The company further invests in its employees through continuous training and development, fostering a high-performance and inclusive workplace. “We strive to create an environment where everyone feels valued and respected,” said Seebran, highlighting MCIS Life’s emphasis on diversity and inclusion. Volunteering is encouraged among staff to build morale and purpose. MCIS Life views this as an opportunity for employees to contribute meaningfully to social causes. “By engaging in community initiatives, our employees support issues aligned with our core values,” Seebran added. MCIS Life integrates ESG principles into its insurance solutions as well. Recognising the gap in insurance coverage for Small and Medium Enterprises (SMEs), the company introduced the SME Care+ product in September 2023. This innovative product offers comprehensive protection tailored to the needs of SME owners, with guaranteed rates for the first two years. Additionally, its modular protection plans allow organisations to customise coverage that includes death, total and permanent disability, critical illness, retrenchment and hospital income—ensuring flexibility and affordability. Customer experience remains a priority for the insurer, driven by innovation and personalisation across digital touchpoints. These enhancements improve efficiency, reduce operational costs, and accelerate product development tailored to customer needs. In investment, MCIS Life upholds sustainable finance practices by limiting exposure to non-ESG-compliant activities to just 10% of its portfolio. The company continues to refine its investment strategy in alignment with evolving ESG benchmarks, contributing to long-term environmental and social progress. Community engagement is a cornerstone of MCIS Life’s sustainability agenda. Collaborations with local authorities and non-governmental organisations aim to drive collective impact. In early 2024, MCIS Life participated in the Hari Terbuka Taman Jaya 2024, partnering with the Petaling Jaya City Council (MBPJ) to plant 60 saplings in Taman Jaya Park. The MCIS Life Purple Truck initiative, launched in 2022 in partnership with the National Cancer Society of Malaysia (NCSM), exemplifies the insurer’s commitment to healthcare access. The truck delivers essential medical services, including cancer screenings such as clinical breast examinations, pap smears, and faecal occult blood tests, alongside educational sessions and doctor consultations. Equipped with solar power and wheelchair accessibility features, the Purple Truck underscores MCIS Life’s drive for inclusive and energy-conscious community solutions. As of 2024, the initiative has conducted more than 21,000 health screenings across the country. At the NCSM’s Relay for Life event on 24 November 2024, MCIS Life further contributed to the cancer awareness campaign by offering complimentary screenings to participants, reinforcing the importance of early detection and community support. In recognition of its efforts, MCIS Life was awarded the Sustainability and CSR Award in the ‘Community and Environment Care’ category in 2024. Seebran reiterated the organisation’s enduring dedication to sustainability, viewing it as a long-term journey rather than a destination. “Sustainability is not just a goal. It is a journey of creating positive change and leaving behind a legacy for our planet and society,” he said. With its holistic and inclusive approach to sustainability, MCIS Life continues to set a benchmark in the Malaysian insurance sector, inviting others to join in building a more equitable and resilient future. -The Edge Malaysia

KUCHING: Sarawak has reinforced its position as a regional clean energy frontrunner, presenting its strategic vision at the Energy Export Conference (EEC) 2025 in Aberdeen, United Kingdom. Delivering the keynote address, Deputy Minister for Energy and Environmental Sustainability Datuk Dr Hazland Abang Hipni highlighted Sarawak’s unwavering policy direction, ongoing innovation investments and its emphasis on regional collaboration as core pillars in its energy transition framework. “Sarawak is proud to be a pioneer in ASEAN in clean energy development. Our participation at EEC 2025 reflects our commitment to forming global partnerships and exporting low-carbon energy solutions,” he said in a statement issued by the ministry on Thursday evening. Dr Hazland outlined Sarawak’s integrated strategy focused on four strategic hubs – renewable energy, natural gas, carbon capture and storage (CCS), and hydrogen – aimed at enhancing regional resilience and supporting long-term sustainable development. Over 70 per cent of the state’s electricity is currently generated through hydropower, and plans are underway to significantly expand renewable energy capacity by 2030 and 2035. Sarawak continues to solidify its role as the “Battery of ASEAN” by advancing regional electricity exports to West Kalimantan, Brunei, Sabah, and in the near future, Singapore. The state also leads Malaysia in natural gas reserves and CCS development, and is spearheading the hydrogen economy with flagship projects and tailored legislation to attract foreign direct investment. Sarawak Deputy State Secretary for Economic Planning and Development Datuk Seri Dr Muhammad Abdullah Zaidel described international platforms such as EEC as essential for building resilient energy ecosystems. “Our presence in Aberdeen signals a clear intent. Sarawak is open for business, committed to innovation and ready to lead in clean energy exports,” he said. During the conference, Sarawak Energy Bhd presented its long-term sustainability roadmap and cross-border grid integration strategies. Meanwhile, SEDC Energy, a subsidiary of Sarawak Economic Development Corporation, showcased collaborations with Japanese and South Korean partners aimed at developing hydrogen and ammonia export capabilities. These efforts reflect Sarawak’s strong commitment to innovation, supported by strategic policies and roadmaps designed to attract international investment and generate high-value employment within a sustainable economy. The state’s achievements have earned international recognition, including acknowledgment by the World Economic Forum. With key events such as International Energy Week 2025 and the Sustainable and Renewable Energy Forum (SAREF) 4.0 on the horizon, Sarawak is actively inviting global stakeholders to join in its journey toward a sustainable and inclusive energy future. -Bernama