Awg Tengah: S’wak SMEs can take lead in ESG practices to become strong regional player in sustainable industries

Admin November 10, 2023November 21, 2023 0 Comments

Photo: (Front row, from left) Alliance Bank Malaysia Bhd group chief strategy, marketing and business development officer Dr Aaron Sum, InvestSarawak chief executive officer Timothy Ong and UNGCNMB executive director Faroze Nadar (right) exchanging the MoU documents, witnessed by Awang Tengah (back row third left). – Utusan Borneo

KUCHING (Nov 10): Deputy Premier Datuk Awang Tengah Ali Hasan has expressed confidence in Sarawak’s small and medium enterprises (SMEs) to take the lead in adopting environmental, social and governance (ESG) practices, becoming a strong regional player in sustainable industries.

He said the RM1 billion green financing provided by InvestSarawak, Alliance Bank Malaysia Berhad and the UN Global Compact Network Malaysia & Brunei (UNGCNMB) will boost Sarawak SMEs in ESG practices.

This green financing would be the gateway for Sarawak SMEs to practice sustainable-trade readiness and business resiliency, he added.

According to him, the RM1 billion financing will be available for all Sarawak SMEs who are interested in accelerating their business towards green practices.

“I am happy to witness the signing of the memorandum of understanding (MoU) to extend RM1 billion in green financing for Sarawakian SMEs in sustainable-trade readiness and business resiliency towards ESG compliance, between InvestSarawak and Alliance Bank Malaysia Berhad and the UNGCNMB.

“By partnering with the right parties such as UNGCNMB coupled with the support of Financial Institutions like Alliance Bank, we can provide seamless transition for SMEs which are the backbone of our economy,” he said during the launching of ‘Climate Inclusive Financing & Development Programme’ held at the Raia Hotel and Convention Centre here today.

Adding on, Awang Tengah, who is also Minister for International Trade, Industry and Investment, as well as Second Minister for Natural Resources and Urban Development, said that the Sarawak government has approved RM11.3 billion worth of investments in the manufacturing sector up until September this year.

With the setting up of InvestSarawak, Awang Tengah said this would allow SMEs to grow bigger while promoting similar initiatives to benefit local SMEs and businesses so that Sarawak could build resilient and sustainable supply chains.

“However, if we do not keep up with the latest developments including ESG and align ourselves with the global economy’s trajectory, we will become obsolete.

“This paves the way for us to become an important global value chain, but the strength of our new economy lies with the SMEs and their ability to accept these new business opportunities,” he said.

Awang Tengah also said that Sarawak is revamping its effort towards promoting low-carbon solutions and a green economy.

“We also aim to be a regional leader in innovation and a high technology-based economy,” he added.