@ green | November-December , 2021

CIMB Islamic , MATRADE & MGTC sign tripartite collaboration

MEMORANDUM of Cooperation ( MoC ) between CIMB Islamic Bank ( CIMB Islamic ), Malaysia External Trade Development Corporation ( MATRADE ) and Malaysian Green Technology and Climate Change Centre ( MGTC ) was signed in conjunction with MIHAS 2021 .

This strategic collaboration aims to accelerate the growth of Malaysia ’ s green exporters by nurturing SMEs through a series of coordinated initiatives and the sustainability ecosystem , in positioning Malaysia as a Sustainable Trading Nation .

The partnership also reflects Malaysia ’ s commitment to streamlining global trends that demand more sustainable products and services . It is in a report from FTSERussell that the global green market value was US $ 4.3 trillion in 2020 .

Realising the importance of sustainability agenda for the Malaysian economy and exports , MATRADE embarked on its sustainability initiative , namely the Corporate Shared Values Programme for exporters or Sustainability Action Values for Exports ( SAVE ).

SAVE , a programme with a high-level objective of engaging Malaysian exporters to embrace the best practices of sustainability , was launched on Oct 9 , 2019 .

Following the launching of SAVE , MATRADE inked an MoU with CIMB Group Holdings Berhad ( CIMB ) on Feb 4 and conducted a series of SAVE awareness and capacity building programmes to enhance SME exporters ’ understanding of sustainability in the context of international markets .

These included subjects such as the benefit and cost of sustainability and developing and implementing a sustainability plan . In 2020 , a total of 196 SMEs exporters participated in the joint programmes .

The MoC would feature specific roles by the three parties .

CIMB Islamic , MATRADE and MGTC pledged their total commitment to work closely together in realising the vision of the MoC in identifying ‘ green trade corridors ’ and mobilising a unified support ecosystem to help kickstart and propel SMEs forward by taking advantage of these corridors .

According to MATRADE ’ s Chief Executive Officer , Mohd Mustafa Abdul Aziz , the tripartite collaboration between MATRADE , MGTC and CIMB Islamic is timely to drive and strengthen Malaysia green exports .

Establishing the right partnership

“ Among others , this strategic partnership will expand the pool of potential green exporters beyond our current registry , thus opening up wider opportunities for green SMEs to go global ,” said Mohd Mustafa .

“ Besides , complying with sustainability requirements would enable exporters to enhance their competitiveness in the international market through better access and more robust demand .

“ We look forward to this MoC to provide a more coordinated and structured effort in developing and supporting Malaysia ’ s green exporters as well as enhancing Malaysia ’ s global branding .”

Shamsul Bahar Mohd Nor , MGTC Chief Executive Officer , said it was imperative to establish the right partnership to chart the path towards Malaysia ’ s green economy and support Malaysia ’ s green industry players in the international market .

“ It is crucial to develop the right ecosystem to push for a greener economic sector which later contributes to the overall Malaysian economy in the long run ,” said Shamsul .

“ In positioning Malaysia as a Sustainable Trading Nation , the International Greentech & Eco Products Exhibition and Conference Malaysia ( IGEM ) has established itself as South East Asia ’ s largest trade event for green technologies and eco-solutions .

“ However , to have better access to the global market , it is important for companies to meet the sustainability requirements which MGTC will continue to support and facilitate in their journey .”

Ahmad Shahriman Mohd Shariff , Chief Executive Officer of CIMB Islamic Bank Berhad , said the Malaysian Green Exporters Programme was a natural complement to CIMB ’ s GreenBizReady initiative . It is a one-stop solution for launching Malaysian SMEs on their sustainability journey , with an allocation of RM250 million until 2024 .

“ It is also aligned with CIMB Islamic ’ s commitment to Value-Based Intermediation as a responsible Islamic banking institution , with practices and offerings that generate a positive and sustainable impact to the economy ,” said Ahmad .

“ With this tripartite collaboration through the MoC with MATRADE and MGTC , CIMB would be able to continue delivering support for capacity building to SMEs in fulfilling their sustainability aspirations .

“ CIMB ’ s Trade Club Alliance , a global network made up of 14 banking groups from around the world , further adds tremendous value as a global trade gateway for businesses to scale not only locally but globally .”

Environmental , social and governance principles in sustainability ( ESG ) have become an integral part of business management . Global consumers are advocating for supporting and buying products from companies that are committed to sustainability .

As for the businesses themselves , the Covid-19 pandemic has increased the need to embrace sustainability . It is reflected by companies that have adopted sustainable practices and are involved in green-oriented exports were shown to rebound faster than others that have not . — @ Green