SIRIM has signed an MoU with Affin Bank, which offers Islamic solutions through Affin Islamic Bank, to support sustainable practices among Malaysian SMEs. The partnership will enable access to resources and value-driven solutions including inclusive propositions, digital solutions, training, research and advocacy programs for SMEs.
SIRIM, the national organization for standards and quality and wholly owned by the Malaysian government under the Ministry of Investment Trade and Industry (MITI), is expecting to launch its in-house ESG standards by the end of June 2023.
The standards organization will also facilitate the development and implementation of ESG standards and certifications in collaboration with industry stakeholders.
“The SMEs may leverage on SIRIM’s multidisciplinary teams of experts in identifying areas for improvement, and implementing sustainable practices such as conducting environmental audits, carbon footprint assessments and waste management studies to reduce their environmental footprint,” Dr Ahmad Sabirin Arshad, the president and group CEO of SIRIM, commented.
According to Wan Razly Abdullah, the president and group CEO of Affin Bank, the collaboration reaffirms the group’s commitment to adopting ESG practices and making sustainability integral to its long-term business growth in line with the government’s sustainability agenda.
Earlier this year, MITI announced that it is in the process of developing a national ESG industry framework, which is expected to be completed in 2024. Also in the pipeline for the ministry is the launch of the New Industrial Master Plan 2030 set for August this year.
According to the ministry, a special task force has been set up to review the newly-drafted master plan, which is expected to be aligned with the government’s net-zero carbon objectives and the ‘MADANI’ principles, among others.
Reaffirmed in the 12th Malaysia Plan, the government is targeting to achieve net-zero greenhouse gas emissions by 2050.
“The task force is mandated to deliberate on key issues such as overall structural reforms, enhancing the nation’s economic complexity, creating the right ecosystems for targeted industries, as well as building SMEs’ capacity for embracing ESG principles to prepare them for global market demands,” the ministry said in a statement.