30 LOCAL NEWS @ ESG @ green | July-August. 2025
Bank Islam champions green transition
IN a bold step toward marrying faith-based finance with environmental responsibility, Bank Islam Malaysia Berhad has introduced a pioneering sustainable financing initiative— IFiRST( IHSAN Financing for Business Resilience, Sustainability, and Green Transition)— aimed at empowering halal SMEs and mid-tier companies in their low-carbon transformation journey.
Announced during the Bank Islam Sustainability Conference 2025, themed“ Accelerating Just Transition Towards a Nature-Positive Economy”, the initiative cements the bank’ s role in driving environmental, social, and governance( ESG) values through Shariah-compliant solutions.
At its core, IFiRST supports businesses, especially in carbon-intensive sectors, by providing equitable access to green financing, including Bank Negara Malaysia’ s Low Carbon
Transition Facility( LCTF).
This is especially critical for halal-certified SMEs seeking to decarbonise operations while preserving compliance with Islamic principles.
“ Through IFiRST, we are not only addressing the climate imperative but also upholding the ethical foundation of Islamic finance. We want to ensure halal businesses and their value chains are not left behind in this transition,” said Bank Islam Group CEO Datuk Mohd Muazzam
SEAM charts new course
A NEW national body dedicated to accelerating Environmental, Social and Governance( ESG) adoption in Malaysia has been unveiled, with its sights set on turning corporate pledges into tangible results.
The Sustainability & ESG Association Malaysia( SEAM) was officially soft-launched at Mid Valley City, positioning itself as a bridge between ESG innovators, corporate decision-makers, and policy architects.
Formed by seasoned ESG professionals, SEAM’ s mission is to close the gap between corporate ambition and actionable solutions.
“ In today’ s ESG landscape, we see a persistent disconnect – corporates are eager to act but struggle to find credible, implementation-ready solutions, while many ESG innovators lack access to the right decision-makers within organisations,” said SEAM Founding President Liang Yit Wen.
“ SEAM is here to close that loop. We aim to turn ESG from ambition into execution, and from pledges into measurable value.”
Central to SEAM’ s strategy is the IDEA-C Framework, a step-by-step approach to help companies identify opportunities, diagnose gaps, design solutions, initiate change, and communicate measurable progress.
Beyond business engagement, the group also plans to collaborate with government agencies to develop ESG policies, frameworks, and standards that reflect Malaysia’ s local context, supporting the nation’ s push toward net-zero goals under the 12th Malaysia Plan( RMK12).
Vice President Alex Yeoh highlighted ESG’ s growing role in competitiveness:“ ESG is no longer just a reporting exercise, it’ s a strategic lever for business growth.
“ We help corporates embed ESG
Mohamed.
The programme builds on the bank’ s earlier ESG-linked offerings, such as the Ihsan Sustainability Investment Account( ISIA) and the SME Smart Eco Financing Programme-i, all designed to spur climate-conscious entrepreneurship.
Beyond financing, the bank is forging strategic partnerships to deepen ESG impact across the halal economy. New collaborations were signed at the event, including Thoughts in Gear, Mastercard, and Elopura Power Sdn Bhd— each bringing new dimensions of technology, capability, and reach to the green agenda.
As Bank Islam sets its sights on achieving net-zero emissions by 2050, it positions itself not just as a financial institution, but as a catalyst for inclusive, Shariah-compliant green growth- a role increasingly vital in Malaysia’ s broader climate ambition.
ESG AMBITIONS: President of SEAM Alex Yeoh Vice and Founding President of SEAM Liang Yit Wen( right) at the launch.
in a way that drives both organisational resilience and planetary well-being.”
SEAM’ s upcoming initiatives range from training and certification programmes to industry roadshows, youth engagement, and cross-border trade missions.
Financial access is also on the agenda, with the association seeking to connect members to green loans and sustainability-linked funding.
Membership is now open to ESG-certified professionals, consultants, compliant corporates, and allied institutions.
From runway to runway
AIRASIA brought sustainability to the runway at Kuala Lumpur Fashion Week( KLFW) 2025, debuting a revamped cabin crew uniform that blends modern functionality with regional craftsmanship from Malaysia and Indonesia.
The new look, made from up to 40 per cent recycled textiles, offers a softer feel, greater flexibility, and easy maintenancefeatures aimed at supporting crew through long hours in the air.
AirAsia X also introduced a modest wear variant for routes to destinations such as Jeddah and Medina, catering to cultural requirements. A handbag designed by a Malaysian designer added a homegrown design element to the ensemble.
AirAsia Group Head of Cabin Crew Suhaila Hassan said:“ We have always said our people are the heart of the airline. These uniforms are designed with them in mind, comfortable, breathable, and easy to move in.
“ At the same time, they represent something bigger: our growing commitment to doing business responsibly and uplifting the communities we come from.”
The KLFW appearance coincided with the airline’ s tenth year of partnership with the event, featuring a high-energy showcase that celebrated Southeast Asian creativity, sustainability, and the diversity of AirAsia’ s cabin crew from across the region.- @ green