ESG

Swapping the classroom for community cheer, SJKC Chong Hwa educators letting their hair down at the McDonald’s Titiwangsa Drive-Thru celebration. “AS teachers, we never stop thinking. We eat, we sleep and we constantly think about what to do tomorrow and how to make our students understand.” This candid admission by Sekolah Menengah Kebangsaan (SMK) Bandar Baru Sentul science teacher Kartika Abd Kahar highlights a reality often overlooked by the public. There is a common misconception that a teacher’s workday ends when the final school bell rings. In reality, the hours spent in the classroom are just a fraction of their true commitment. Sekolah Jenis Kebangsaan Cina (SJKC) Chiao Nan co-curricular activities vice principal Dave Lai agrees, noting that teaching is practically a 24-hour job. “Many think teachers have it easy, clocking in at 7.30am and leaving by 1.30pm. “But behind the scenes, there is a lot of follow-up work. Beyond preparing lessons, teachers have a lot of administrative ‘homework’ to complete. We are also handling students’ issues after hours, communicating with parents to help solve problems their children face,” he said. Kartika and Lai are two of the 70 teachers who were celebrated and honoured for their sacrifices, dedication and commitment at McDonald’s Titiwangsa Drive-Thru, Kuala Lumpur. The event was part of McDonald’s Malaysia’s nationwide Teacher’s Day initiative, which began earlier this month with local activations in Penang before expanding across the country. Throughout May, a total of 300 McDonald’s restaurants are being used as community touchpoints, where teachers from nearby schools are invited and treated to meals in appreciation of their contributions. The campaign is expected to reach thousands of educators nationwide across hundreds of schools, reinforcing McDonald’s Malaysia’s recognition of teachers’ sacrifices and their role in shaping future generations. A moment away from lesson plans and grading: SJKC Chiao Nan educators enjoying a well-deserved breather during the Teachers’ Day celebration. For Lai, the celebration provided a much-needed mental break from the demands of the profession. “Besides allowing teachers to step away and not think about work for a while, we can enjoy this time together with our colleagues and other like-minded teachers. It is a really great opportunity,” he said. Echoing this, SMK Bandar Baru Sentul science teacher Renukha Devi Puspanathan said such recognition is deeply meaningful. “Most of the time, we are focused on our students. So, when someone organises an event for us, we are really touched,” she shared. Beyond celebrations, McDonald’s Malaysia also contributed RM5,000 to selected schools to support the refurbishment and improvement of staffrooms and facilities. Lai said the contribution would be especially helpful as his school is currently working to secure funds to upgrade its facilities. A decade of gratitude This year marks the 10th year McDonald’s Malaysia has celebrated Teachers’ Day as part of its ongoing community engagement initiatives. (From left) Azmir, SJKC Chiao Nan headmistress Wong Ai Ling, SJKC Chong Hwa student affairs senior assistant Song Sock Kian, Shamsidar and McDonald’s Malaysia senior vice president and chief impact officer Melati Abdul Hai with teachers at the McDonald’s Teacher’s Day celebration in Titiwangsa. McDonald’s Malaysia also presented RM5,000 each to SJKC Chiao Nan and SJKC Chong Hwa to help upgrade their teachers’ workspaces. Since its inception in 2017, the programme has been part of Program Komuniti @ McDonald’s, which delivers more than 10,000 community activities annually, ranging from supporting families in need to recognising frontliners and educators. “Teachers play a fundamental role in shaping individuals and strengthening communities, with an impact that extends well beyond the classroom,” said McDonald’s Malaysia managing director and local operating partner Datuk Azmir Jaafar. “For ten remarkable years, our Teachers’ Day initiative has grown into a nationwide effort that allows us to engage schools directly and deliver appreciation where it matters most. We believe it is our collective responsibility to ensure these pivotal figures feel truly valued and celebrated.” McDonald’s Malaysia corporate communications senior director Shamsidar Yahya said the initiative reflects the brand’s commitment to being a community partner. She added that McDonald’s restaurants serve not only as dining spaces but also as community hubs where people gather and connect. “Teachers are the heartbeat of every community. We hope this celebration brings them joy and serves as a reminder that their sacrifices are deeply appreciated,” she said. She added that while reaching the 10-year milestone is significant, McDonald’s Malaysia remains committed to continuing the initiative in the years ahead.

In today’s increasingly digitised economy, professional networking is quietly undergoing one of its biggest transformations in decades. For generations, the paper business card remained a fixed and unquestioned symbol of professional identity — printed, exchanged, stored, and often forgotten. Yet while businesses have rapidly embraced digital payments, AI-powered workflows, cloud ecosystems, and contactless interactions, the traditional business card has largely remained untouched by innovation. That is precisely the contradiction CardBiz identified when it launched LeafyCard in 2023. At a time when QR payments, e-wallets, and digital ecosystems were becoming deeply embedded into daily consumer behaviour, the company saw an opportunity not simply to digitise business cards — but to fundamentally rethink how professional identity itself should function in a digital-first world. In an interview with The Exchange Asia, the team behind LeafyCard shared how the company is positioning itself far beyond conventional digital networking solutions — building what it believes could become the next-generation infrastructure for intelligent, sustainable, and interoperable professional identity systems. From Paper Cards to Living Professional Identities According to CardBiz, the inspiration behind LeafyCard emerged during a defining global shift following the pandemic, where the world rapidly transitioned towards digital communication, contactless engagement, and mobile-first interaction. Yet despite this transformation, billions of paper business cards continued to be printed every year — exchanged once and frequently discarded shortly after. Xenia Lau, Head Of LeafyCard. “The gap we identified was not just technological, but behavioural and ecological,” Xenia Lau, Head Of LeafyCard explained. “People were already carrying smartphones capable of instant, dynamic, and trackable connectivity, yet professional networking still relied heavily on static paper cards.” Rather than creating a simple digital alternative, CardBiz envisioned LeafyCard as a “living professional profile” — one capable of evolving in real time alongside individuals and organisations. The platform was designed to integrate into modern digital ecosystems while offering measurable business value, real-time updates, analytics, and ESG-aligned functionality. The Biggest Barrier Was Never Technology — It Was Human Behaviour Despite Malaysia’s rapid adoption of QR technology and digital payments through platforms such as Touch ‘n Go, GrabPay, and Apple Wallet, convincing businesses to transition away from physical cards presented a very different challenge. “The greatest challenge has never been the technology — it has always been habit and perception,” Xenia remarked. In many Asian business cultures, the physical exchange of business cards carries symbolic significance, professionalism, and etiquette. Replacing that interaction with a QR code or phone tap requires a deeper behavioural shift. The company also highlighted what it describes as the “IT department problem” — where large organisations often require new digital tools to undergo procurement reviews, compliance checks, cybersecurity assessments, and internal governance approvals before implementation. At the same time, many senior professionals continue to operate under an “if it isn’t broken, why change it?” mentality after decades of networking through traditional methods. Rather than positioning LeafyCard as a disruption to business culture, CardBiz instead reframed the narrative. “We do not argue against tradition,” Xenia explained. “We position LeafyCard as an upgrade to what happens after the exchange — the follow-up, the analytics, the sustainability story, and the consistency of professional branding.” Building at the Intersection of ESG, Governance, and Digital Identity One of LeafyCard’s strongest differentiators lies in its ESG positioning. While many digital business card providers focus purely on networking convenience, CardBiz has built a broader enterprise-grade ecosystem through LeafyCorporate — specifically tailored for listed companies, GLCs, and organisations facing increasing ESG and governance expectations. The company emphasised that its platform enables corporations not only to digitise employee business identities, but also to generate quantifiable ESG data tied to sustainability reporting and carbon footprint reduction. For organisations under growing pressure from investors, regulators, and Bursa Malaysia’s sustainability reporting frameworks, these capabilities are becoming increasingly relevant. “When listed companies adopt LeafyCorporate, they are not simply replacing paper cards,” says Xenia. “They are reducing Scope 3 emissions, improving sustainability reporting capabilities, and demonstrating measurable environmental accountability.” The company further noted that traditional paper card production contributes to deforestation, chemical waste, and supply chain emissions — areas increasingly scrutinised within ESG reporting standards. What distinguishes LeafyCard further is its ability to convert these sustainability actions into reportable and auditable metrics — something traditional business cards could never offer. More Than a Digital Card — A Trusted Identity Layer While digital business cards represent the visible front-end of the platform, CardBiz revealed that its longer-term ambitions extend far beyond networking. “A digital business card is the entry point, not the destination,” said Xenia. What CardBiz is ultimately building is what it describes as a “portable, verified, and intelligent professional identity layer” — one capable of integrating into broader fintech, HR, onboarding, loyalty, procurement, and enterprise systems. The company envisions a future where professional identities become interoperable across multiple environments and use cases. In this ecosystem, a professional profile could eventually unlock loyalty privileges when entering partner venues, authenticate credentials for financial services, automatically populate procurement forms during supplier engagements, facilitate event access verification, and integrate seamlessly into onboarding and workforce management systems. According to CardBiz, the technology enabling these experiences already exists today. What has been missing is a trusted and intelligent identity infrastructure capable of connecting those experiences cohesively — something the company believes LeafyCard is building toward. Positioned Within a Digitally Mature Market Interestingly, CardBiz believes Malaysia’s digital maturity gives LeafyCard a competitive advantage rather than creating market saturation. Because consumers are already highly familiar with QR interactions and contactless engagement through digital payment ecosystems, the behavioural learning curve for LeafyCard adoption is significantly lower. The company also distinguishes itself clearly from payment or social platforms. “Payment platforms are transactional,” Xenia explained. “LeafyCard is relational. We facilitate professional connections that evolve over time.” This distinction positions LeafyCard within a unique space between networking, identity management, sustainability, and enterprise digitalisation. The company further highlighted its ecosystem credibility through collaborations and recognition involving Malaysia Digital Economy Corporation and the ESG Plus Awards, strengthening its positioning as more than merely a product provider.

Dutch Lady Milk Industries Berhad (DLMI) has entered into a long-term Power Purchase Agreement (PPA) with Pekat Solar Sdn Bhd, a wholly-owned subsidiary of Pekat Group Berhad (Pekat), to accelerate its transition to renewable energy through the deployment of a rooftop solar system at its DLMI@Enstek manufacturing facility. Under the agreement, Pekat will design, install, own and operate the system, while DLMI will purchase the electricity generated. This model allows DLMI to adopt renewable energy without upfront capital investment, while enhancing cost predictability and long-term operational efficiency. The project will involve the construction and installation of solar panels across key buildings at the site, including the Distribution Centre (DC), Administration Building and Employee Parking area. Once operational, the system is expected to generate approximately 4.9 million kWh of renewable electricity annually, offsetting up to 24% of the plant’s total electricity consumption. Construction is expected to commence in June 2026, with operations projected to begin in December 2026. The project will run under a 15-year agreement, strengthening DLMI’s ability to manage energy cost volatility while supporting long-term business continuity. This initiative supports DLMI’s target to achieve a 30% reduction in emissions and energy intensity by 2030. It also aligns with Malaysia’s National Energy Transition Roadmap (NETR), reinforcing the private sector’s role in advancing the country’s renewable energy ambitions. DLMI Managing Director Veronika Utami said: “At DLMI, our responsibility goes beyond nourishing Malaysians with quality and nutritious dairy products. It also means doing so in a way that is sustainable for the future. “This partnership reflects a deliberate step in strengthening how we operate, reducing our environmental footprint while ensuring resilience in a changing energy landscape.” Pekat Group Chief Executive Officer Tai Yee Chee said: “This partnership with DLMI is more than a solar installation — it is a testament to what is possible when industry leaders take decisive action in building a more resilient and sustainable Malaysia. “Pekat is honoured to support DLMI in reducing its carbon footprint and driving energy cost efficiency. Together, we are demonstrating that sustainability and operational excellence are not trade-offs, but complementary pursuits that define the future of Malaysian manufacturing.” This collaboration reflects DLMI’s continued focus on strengthening its operations while building greater resilience into its business. As energy remains a critical input in manufacturing, initiatives like this position DLMI to take a more structured and forward-looking approach to powering its facilities. The company remains focused on delivering consistent quality and value to Malaysian consumers while ensuring its operations are fit for the long term.

CelcomDigi Berhad (“CelcomDigi”) has opened applications for the second cohort of the CelcomDigi Young Talent Programme (YTP), a structured two-year career acceleration initiative designed to develop high-potential Malaysian talents into future digital leaders. As part of the company’s commitment to advancing Malaysia’s digital ambitions, CelcomDigi YTP is designed to develop talent with strong technical depth, business acumen and leadership capabilities. The programme is intended for individuals who are ready to be challenged early in their careers and contribute to customer-centric, data-driven and commercially impactful outcomes in a dynamic telco-tech environment. Azmi Ujang, CelcomDigi Chief Human Resources Officer, said: “The pace of digital transformation today requires a different kind of talent — individuals who are technically strong, commercially aware, adaptable, and able to continuously learn and evolve in a dynamic environment. “Through CelcomDigi YTP, we are intentionally building a pipeline of digital talent who can help shape how technology creates meaningful impact for customers, businesses and the nation. “Unlike a conventional graduate programme, CelcomDigi YTP is designed as an accelerated platform for young talent to build deep expertise, gain meaningful exposure to real business challenges, and develop alongside teams driving some of CelcomDigi’s most important transformation priorities.” Applications Open for Second CelcomDigi YTP Intake Following strong interest in its inaugural intake, which attracted close to 3,600 applications for just 20 placements, the company is once again seeking exceptional young Malaysians who are ready to thrive in fast-moving environments and contribute to real business impact. Applications are open from May 13 to July 3, 2026 for Malaysian graduates and young professionals with less than two years of working experience. Successful applicants will undergo structured rotations across one of five specialised competency streams: Cloud Engineering Cybersecurity Data & Business Analytics Digital Product Development AI & Automation Throughout the two-year journey, participants will work alongside experienced teams and leaders on real-world business challenges and technology solutions supporting CelcomDigi’s ongoing transformation as a 5G- and AI-enabled company. CelcomDigi YTP is part of the company’s broader talent development effort under CD:NXT — the company’s long-term strategic initiative aimed at building a future-ready digital workforce for Malaysia. Through continued investment in high-potential young Malaysians, CelcomDigi aims to strengthen the nation’s capabilities in key areas such as AI, technology, data and analytics, while supporting the country’s long-term digital growth and competitiveness. Interested candidates can apply and find out more at CelcomDigi Young Talent Programme

More than 50% of Maxim E-hailing Malaysia’s total operational expenses have been allocated towards initiatives supporting the legalisation of drivers and compliance with local e-hailing regulations, reflecting the company’s ongoing commitment to building a transparent and fully compliant industry ecosystem. As part of these efforts, Maxim has introduced various initiatives aimed at reducing the financial and administrative burden faced by driver-partners when entering the legal e-hailing market. One of the company’s key investments includes compensation and support related to the Public Service Vehicle (PSV) licence requirements. Through this initiative, Maxim helps drivers ease the cost of obtaining the necessary certification, enabling more individuals to participate legally in the growing gig economy sector. In addition, Maxim has also invested in providing assistance for drivers to obtain their E-Hailing Vehicle Permit (EVP). To streamline the process, the company established a dedicated internal support structure to guide drivers through the required documentation and procedures. As a result, the average legalisation process for drivers can now be completed within just two to three days. “When you know your work is properly supported, you feel more confident and take your responsibilities more seriously,” said Mr. Gilang, Maxim’s full-time driver. Maxim’s continuous efforts to encourage legal participation in the e-hailing industry have also contributed to a steady increase in new driver registrations. Every month, more Malaysians are choosing to generate income through e-hailing services while complying with industry regulations. In March alone, the number of new drivers joining Maxim increased by 28% compared to February. According to Mohd Hazwan Musley, Director of Maxim E-hailing Malaysia, the company remains committed to creating sustainable earning opportunities while ensuring full compliance with Malaysian transport regulations. “At Maxim E-hailing Malaysia, we are committed to building a safe, transparent, and fully legal e-hailing ecosystem in Malaysia. We continuously invest in driver legalisation processes, including PSV-related assistance, EVP application support, safety training for drivers, and awareness initiatives to help drivers enter the industry more easily and operate in compliance with existing regulations. Our focus is not only on improving mobility services, but also on creating sustainable earning opportunities for local communities while maintaining high standards of safety and service quality,” he said. The company also continuously monitors driver compliance, including the validity of licences and permits, to ensure all active driver-partners meet the necessary legal requirements. Maxim’s investments in legalisation support and driver compliance initiatives are part of its broader commitment to promoting transparency, strengthening the e-hailing industry, and contributing to the development of legal employment opportunities within Malaysia’s gig economy.

UMW Toyota Motor (UMWT) today celebrated the conclusion of the 19th edition of the Toyota Dream Car Art Contest (DCAC) 2025/26, highlighting its highest-ever participation of 6,508 submissions from children nationwide. The Closing Ceremony, held at the One World Hotel, brought together participants, educators, and distinguished guests to recognise the creativity, imagination, and community impact of young Malaysians. The contest drew entries from 96 schools, involving more than 72,000 students across preschool, primary and secondary levels. Since its introduction globally in 2004, and now in its 19th edition in Malaysia, this year’s edition marks an increase of 3,387 submissions, more than doubling last year’s participation, highlighting the contest’s growing reach and continued relevance among young Malaysians nationwide. “Through the Toyota Dream Car Art Contest, we are seeing stronger participation from students across the country, reflecting how the platform continues to resonate with young Malaysians. What stands out is the range of ideas and thought that come through when more students take part, and how this continues to raise the standard of submissions year after year. It is also encouraging to see participants grow in confidence as they express their ideas more clearly. This is how we continue to nurture creativity and a sense of responsibility, empowering them to shape their future and move their world,” said Datuk Ravindran K., President of UMW Toyota Motor. The contest was carried out through a structured process, guiding participants from initial concepts through to submission and evaluation. Submissions were received through multiple channels, including school programmes, online entries, art schools, and physical submissions, demonstrating the accessibility and inclusivity of the initiative. Each entry is assessed for originality, creativity, and the alignment of ideas with future mobility themes. The winners of the 2025/2026 Dream Car Art Contest from Malaysia in three different age categories are as follows: Group 1 (7 years old and under)· 1st Prize: Mia Lee Su Wei· 2nd Prize: Hiew Zi Feng· 3rd Prize: Javene Chah· Consolation Prize: Chia Leen Xyn & Chean Zi Shin Group 2 (Age 8 – 11 years old)· 1st Prize: Elise Kong· 2nd Prize: Ng Kai Qing· 3rd Prize: Agnes Yoon· Consolation Prize: Charice Foo & Nathan Mah Group 3 (Age 12 – 15 years old)· 1st Prize: Liew Pei Han· 2nd Prize: Isaac Lee· 3rd Prize: Lau Viteng· Consolation Prize: Yong Zhe Kai & Yap Xing Ee Top entries will advance to the international stage, representing Malaysia at the World Toyota Dream Car Art Contest in Japan, offering the global community a glimpse into the imagination and talent of Malaysian youth. Since its inception, the Toyota Dream Car Art Contest has been a key initiative in UMWT’s commitment to education, creativity, and community development, inspiring generations of children to dream, create, and contribute towards a sustainable future.

Carlsberg Brewery Malaysia Berhad (The Group) has released its Integrated Annual Report (IAR) for the financial year 2025, reaffirming its commitment to sustainable shareholder value creation and strong corporate governance. The alignment with National Sustainability Reporting Framework (NSRF) and adoption of International Sustainability Standards Board (ISSB) reflects the Group’s intent to move beyond disclosure for compliance to addressing investors growing demand for consistent and reliable sustainability data. Carlsberg Malaysia Annual Report 2025. The IAR 2025 reported on the Group’s approach in leveraging data-driven sustainability and climate insights into identification of key material risks from its annual materiality review. The brewer is guided by its sustainability ambition to safeguard its licence to operate and achieve zero carbon emission within the brewery operations by 2032, amid rising energy costs, increasing regulatory scrutiny and more frequent extreme weather events. Three material matters were prioritised: Responsible Drinking & Marketing and Energy Management under the IFRS S1 (General Requirements for Disclosure of Sustainability-related Financial Information), and its efforts to improve Climate Resilience under IFRS S2 (Climate-related Disclosures). It is a step change in how the Group mitigates risks and optimises opportunities, strengthening operational resilience and future-proofing the business. Under IFRS S2, climate risk assessments identified exposure to energy price volatility, carbon-related transition risks and physical risks linked to increased rainfall intensity and water availability. These assessments guided operational actions during the year, including higher energy efficiency management, the transition to Malaysia Renewable Energy Certificates (M-RECs) from I-REC, which resulted in savings of RM0.18 million, exploration on biomass energy as an alternate source to natural gas, and the feasibility study of Solar Power Purchase Agreements. Together, these initiatives supported the Group’s decarbonisation pathway while helping to reduce exposure to long-term energy cost volatility. The Group also strengthened climate-resilience measures at its brewery to mitigate potential disruption risks arising from heavier rainfall patterns, reinforcing asset protection and business continuity planning. The Group also highlighted the importance of responsible drinking and marketing as IFRS S1 to address integrity and compliance risks associated with operating in a tightly regulated industry. During the year, the Group reinforced strict marketing governance, enhanced brand safety controls and compliance with local advertising standards, reaffirming its decade-long #CELEBRATERESPONSIBLY commitments. A total of RM6.73 million was spent on responsible drinking, sales and marketing efforts, through packaging, point-of-sales materials, consumer-facing events and strategic partnerships, to mitigate every possible reputational risk of non-compliance. On the governance front, Carlsberg Malaysia became the first Carlsberg market globally and the first local beverage manufacturing company certified by SIRIM QAS International to attain ISO 37001:2025 Anti-Bribery Management System certification. The upgraded standard places greater emphasis on Board oversight and integrity risk management, reflecting heightened expectations on corporate conduct and accountability. The Group’s efforts in overall sustainability performance were recognised through multiple awards and external benchmarks during the year, including being named the Highest Return on Equity at The Edge Billion Ringgit Club Awards for the sixth consecutive year, and achieving an improved FTSE4Good Bursa Malaysia score of 3.8. Another notable achievement is Carlsberg Malaysia’s improved MSCI ESG rating, moving from AA to AAA. Stefano Clini, Managing Director of  Carlsberg Malaysia. Managing Director of Carlsberg Malaysia, Stefano Clini said, “Despite a challenging operating environment in 2025, we delivered a resilient performance, continuing its six-year track record of profitability through disciplined execution of our Accelerate SAIL strategy and our sustained focus on premiumisation, innovation and operational efficiency.” “In 2025, the adoption of IFRS S1 and S2 marked an important step in how we integrate sustainability risks and opportunities with everyday business decision-making. By strengthening climate, energy and governance disciplines, we are better positioned to manage uncertainties and remain focused on creating sustainable value while strengthening climate resilience,” Clini added. In March this year, Carlsberg Malaysia launched its refreshed sustainability strategy – Brewing Tomorrow, focusing on four pillars: Cutting Carbon, Protecting Nature, Empowering People and Inspiring Choice. Brewing Tomorrow reflects a renewed, science-backed ambition to reduce the Group’s impact on people and the planet.

In today’s environment of trade tariffs, geopolitical tensions and changing regulations, some businesses have quietly scaled back their sustainability commitments by delaying net-zero goals, reducing ESG programmes and taking a wait-and-see approach. According to experts at ACCA’s annual Sustainability Conference, this could prove to be a costly mistake. Held virtually on Earth Day and attended by finance professionals from more than 100 countries, the conference highlighted that sustainability is no longer just a moral issue, but a financial one. Businesses that fail to integrate sustainability into their core strategies may be exposing themselves to growing risks that are already impacting operations and profitability. ACCA Head of Sustainable Business Sharon Machado said sustainability should not be treated as a side initiative, but as part of overall business strategy and risk management. She noted that concerns such as geopolitical disruption, supply chain instability, commodity shortages and extreme weather impacts are all closely linked to sustainability challenges. Risk, finance and sustainability leader Andrea Amaize said many organisations that have reduced their sustainability efforts are trying to balance long-term goals with short-term financial pressures. However, she said the immediate effects of sustainability issues are already being felt. Climate change is influencing the cost and availability of insurance, purchasing decisions increasingly include decarbonisation requirements, access to lower-cost capital is becoming linked to sustainability performance, and talent is increasingly drawn to purpose-driven organisations. Speakers at the conference also stressed that sustainability should not be seen only as a cost, but as a driver of profitability. Strong sustainability strategies can create new revenue opportunities, lower operating costs, improve resilience, strengthen brand value and build competitive advantage. Amaize added that companies must clearly demonstrate how sustainability creates measurable financial outcomes, with finance professionals playing an important role in proving that link.

RHB Banking Group (“RHB” or “the Group”) has been upgraded from AA to AAA in the MSCI ESG Rating, the highest rating available, placing the bank among the leading global financial institutions for managing environmental, social and governance (ESG) risks and opportunities. The upgrade reflects growing confidence among global investors in RHB’s ability to deliver sustainable growth through its progress in sustainable finance, reducing financed emissions in key sectors, and strengthening governance and risk management practices. As of FY2025, RHB has cumulatively mobilised around RM60 billion in sustainable financial services and is targeting RM90 billion by 2027. The Group has also achieved a 13.2% reduction in financed emissions across five priority high-emission sectors compared with its 2022 baseline, as well as a 49% reduction in operational greenhouse gas emissions against its 2016 baseline. RHB Group Managing Director and Group CEO Dato’ Mohd Rashid Mohamad said the upgrade reflects the Group’s progress in embedding sustainability into its operations. He said sustainability is integrated into how the bank allocates capital, manages risk and supports customers through transition journeys, while creating long-term value for stakeholders. Beyond financing, the recognition also highlights RHB’s stronger climate risk governance, operational resilience and responsible business practices. The Group has established climate risk management frameworks that include board-level oversight, scenario analysis and stress testing to support decision-making. RHB continues to advance its net-zero goals, targeting carbon neutral operations by 2030 and net zero emissions by 2050, while continuing to lower both financed and operational emissions. These efforts are supported by the Group’s Sustainable and Transition Finance Framework, which aims to improve governance, transparency and consistency in financing activities. RHB also continues to promote financial inclusion across its key markets, having supported more than 1.5 million individuals and businesses, with a target of 2.5 million by 2027. The Group has also strengthened its workforce and governance practices, including achieving close to 40% women representation in senior leadership, enhancing sustainability skills among employees, and improving responsible supply chain standards. MSCI ESG Ratings are widely used by global investors and assess more than 17,000 issuers worldwide. The ratings measure how companies manage financially relevant ESG risks and opportunities relative to industry peers, with AAA representing the highest level of ESG leadership. RHB’s sustainability credentials are also supported by its continued inclusion in the FTSE4Good Bursa Malaysia Index, recognition by S&P Global’s Corporate Sustainability Assessment, and its position among Malaysia’s leading ESG performers. Under its PROGRESS27 strategy, RHB said it will continue expanding sustainable and transition finance, strengthening ESG risk integration, and delivering solutions that support inclusive and low-carbon growth across the region.

Petroliam Nasional Bhd (PETRONAS) and the Terengganu government, through the Terengganu Economic Planning Unit, have signed a memorandum of understanding (MoU) to explore the development of nature-based solutions (NbS) projects in the state. Under the agreement, both parties will work together to identify and assess potential sites in Terengganu for nature-based carbon projects that meet international certification standards. PETRONAS said the initiatives aim to generate high-quality carbon credits while also delivering benefits to local communities and supporting environmental conservation efforts. Nature-based solutions involve actions such as conserving, restoring and sustainably managing natural ecosystems to reduce and remove greenhouse gas emissions. The carbon credits generated from these projects will support PETRONAS in managing residual and hard-to-abate emissions, in line with its goal of achieving net zero carbon emissions by 2050. The MoU was signed by PETRONAS senior general manager for nature and corporate sustainability Giulia Sartori and Terengganu state secretary Datuk Mohd Azmi Mohamad Daham. Sartori said the collaboration will support climate-positive initiatives that strengthen resilience, protect biodiversity and create value for local communities. She added that it builds on PETRONAS’ long-standing presence in Terengganu. Mohd Azmi said Terengganu’s natural ecosystems have strong potential to support climate change mitigation efforts. He added that the collaboration will help Malaysia reduce carbon emissions while ensuring environmental conservation benefits the people of the state.