Alliance Bank Malaysia Berhad clinches win at ESGBusiness Awards 2024
The bank was honoured for fostering competence by refining sustainability practices amongst its clients.
Alliance Bank Malaysia Berhad earned the Cross-Sector Collaboration Award - Malaysia at the ESGBusiness Awards 2024, which recognised the bank for enhancing clients’ sustainability practices through its Sustainability Impact Programme (SIP).
SIP was developed as a key element of the bank’s broader growth and transformation strategy, Acceler8. This strategy underscores the bank’s commitment to advancing sustainability by assisting businesses in adopting effective environmental, social, and governance (ESG) practices.
Crucial to this commitment is the company’s focus on creating value through digital innovations and strategic partnerships.
Sustainability amongst Malaysia SMEs
SIP was designed to promote sustainable business practices amongst Malaysian SMEs, boasting its display of strong leadership and commitment. It dedicates resources to ensure effective implementation, with the integration of advocacy, advisory services, and actionable solutions.
A key element of SIP is the Alliance Bank Green Supply Chain Programme (GSC). This programme collaborates with Bursa Malaysia, the nation's stock exchange platform, and the UN Global Compact Malaysia & Brunei (UNGCMYB). The GSC focusses on reducing Scope 3 emissions by assisting listed companies in quantifying and mitigating their supply chain's environmental impact.
With the use of Bursa Malaysia's Centralised Sustainability Intelligence (CSI) platform, the programme successfully piloted with Mah Sing Group. This initiative provides suppliers with essential tools and support to improve their sustainability performance. Alliance Bank's role as an early adopter highlights its dedication to driving industry-wide change, including allocating RM1b in green receivables financing for small and medium enterprises (SMEs).
The impact of the programme extends beyond the pilot phase. It has enabled the bank to forge a strategic partnership with Invest Sarawak, leading to a RM1b commitment to support Sarawakian SMEs in their ESG journey. Through workshops, banking incentives, and financing solutions, Alliance Bank is fostering a thriving ecosystem of sustainable businesses in the region.
Furthermore, SIP's broader objectives include raising awareness, providing expert guidance, and facilitating access to sustainable solutions. To attain these, the bank collaborated with academic institutions such as Monash University Malaysia and INCEIF University.
This move has allowed the bank to generate valuable ESG research and actively participate in industry forums to influence the sustainability discourse. Additionally, SIP utilises digital tools like the PROGRESS climate assessment tool to help SMEs identify climate-related risks and subsequently develop tailored action plans.
Seamless client experience
To guarantee clients an optimum experience, SIP provides comprehensive training for sales and service personnel across the nation. This ensures consistent support and guidance for businesses throughout their sustainability journey.
The impact of SIP extends beyond environmental sustainability. Whilst empowering SMEs to adopt sustainable practices, the programme also contributes to building a resilient and competitive business landscape. This aligns with Malaysia's broader sustainability goals, supporting the nation's economic and social development.
By FY2024, Alliance Bank had surpassed RM12b in new sustainable financing. It further aims for a target of RM15b by FY2027. The SIP is on track for RM1.2b in approved loans, reaching over 1 million SMEs, demonstrating a broader impact through initiatives like Invest Sarawak.
Alliance Bank's leadership in sustainability is evident through the comprehensive approach of SIP. As the programme continues to evolve, it is expected to deliver an even greater impact not only for businesses but also for the community at large.
The ESGBusiness Awards recognises and celebrates companies that lead the way in building a sustainable future. The awards programme honours businesses that demonstrate outstanding commitment and achievement in environmental, social and governance (ESG) practices.
The ESGBusiness Awards is presented by ESGBusiness. To view the full list of winners, click here. If you want to join the 2025 awards programme and be acclaimed for your company's outstanding commitment and achievement in environmental, social, and governance (ESG) practices, please contact Julie Anne Nuñez at [email protected].
