Sustainability Impact

Ant International launches sustainability scorecard for MSMEs

On: November 12, 2024

GCash to captain effort, with Gprnt serving as it partner
seeks to assist MSMEs in monitoring social and environmental effects

Ant International launches sustainability scorecard for MSMEs

Ant International, in collaboration with industry partners, has announced the development of the MSME Sustainability Impact Scorecard ( MSME S-Card ), a digital solution designed to help Micro, Small, and Medium Enterprises ( MSMEs ) in Asia track their environmental and social impact.

The MSME S-Card is a component of Ant International’s Programme Sirius, which was launched in March 2024 to assist MSMEs in moving toward conservation. To establish solid ESG qualifications and unlock fresh economic opportunities, the scorecard aims to offer a refined electronic solution to MSMEs.

Leiming Chen, chief sustainability officer at Ant International, stated,” We hope that the MSME S-Card, the second initiative under Programme Sirius, will provide a benchmark for MSMEs and financial institutions to work together to support MSMEs ‘ sustainability journey, enabling them to lead to a shared vision for a better future while gaining practical benefits from green payments, ESG reporting, and natural financing”.

Gprnt, a online program for ESG monitoring and data, will serve as the tech partner for the effort. The start of the MSME S-Card, which coincides with Gprnt’s release of its own integrated Reporting and Marketplace equipment, which are designed to connect businesses to an ecosystem of solutions to support their funding and decarbonization needs, could not have come at a better time, according to Lionel Wong, executive producer of Gprnt.

GCash, a digital finance platform from the Philippines, will be the pilot participant for the MSME S-Card. According to Winsley Bangit, VP for New Businesses at GCash,” MSMEs will benefit from GCash’s partnerships with global leaders like Ant International, promoting responsible growth in line with GCash’s goal to uplift Filipinos ‘ everyday lives,” “GCash’s partnerships with global leaders such as Ant International will help enable MSMEs to access both capital and practical support.”

The initiative aims to address several issues that MSMEs face when adopting sustainable practices, including the insufficient knowledge of ESG practices, limited resources for sustainability initiatives, and limited supply of customized financial products for smaller businesses.

MSMEs can report and transform information using the MSME S-Card using digital platforms. The scorecard provides MSMEs with actionable insights to align with sustainability standards and strengthen their ESG credibility by integrating ESG metrics in a streamlined and digital manner.

Next year’s GCash pilot project is anticipated to launch, with additional customization of the Philippines ‘ scorecard benchmarks based on local needs.

Newton Hexon Capital, PMB Investment Berhad to launch Newton Hexon Asia Growth FUnd, driving green business development in Asia

By: Mary Blight

On: October 29, 2024

In: Technology

Key sectors include renewable energy, waste-to-energy, hydrogen, EVs, etc
Fund targets Asia’s growing green economy by investing in high-potential businesses

From Left - Roy Fung (managing partner, Newton Hexon Capital PLT), Naquiyuddin Ibni Tuanku Ja’afar (Honorable chairman, Newton Group) & Mahdzir Othman (Group CEO, Pelaburan MARA Berhad).

Newton Hexon Capital, a leading investment firm, and PMB Investment Berhad, an Islamic Fund Management Company under Pelaburan MARA Berhad, have announced the launch of the Newton Hexon Asia Growth Fund. In a joint statement, they stated that this Shariah-compliant private fund is designed to capitalise on Asia’s rapidly growing green economy by investing in high-potential businesses across diverse sectors.

Mohd Idzwan Izuddin Ab Rahman, chairman of PMB Investment, expressed his enthusiasm for this initiative, saying, “PMB Investment serves as the investment manager for this private fund in Malaysia, leveraging our licensed status. This partnership marks a significant milestone as we expand our commitment to sustainable investments. Through the Newton Hexon Asia Growth Fund, we aim to drive impactful growth in the green economy across Asia, offering our investors access to innovative companies shaping a greener future.”

Meanwhile, Roy Fung, managing partner of Newton Hexon Capital, commented, “We are honoured to mark this defining moment in our journey together with PMB Investment on this forward-thinking fund. The Newton Hexon Asia Growth Fund will serve as a platform for businesses actively transforming Asia’s green landscape, providing both financial returns and lasting, positive ESG impacts. This fund represents not just capital, but a commitment to innovation, integrity, and collaboration in the investment world.”

The Newton Hexon Asia Growth Fund offers clients, partners, investors, and governments an opportunity to engage in the region’s swift transition towards sustainability. Focusing on key sectors such as renewable energy, energy efficiency, waste-to-energy, hydrogen generation, electric vehicles and related technologies, and urban farming, the fund aims to support businesses leading in environmentally sustainable solutions.

Key Investment Criteria

The Newton Hexon Asia Growth Fund will prioritise projects that demonstrate a positive environmental impact. Key investment criteria include:

Adherence to International Guidelines: Projects must align with recognised international standards for environmental sustainability.
Carbon Emission Reduction: Investments will be evaluated based on their potential to reduce carbon emissions.
Energy Savings: The fund will favor projects that promote energy efficiency and conservation.
Waste Management: Initiatives focused on sustainable waste management and recycling will be considered.
Social Impact: Projects contributing to social good and community development will be prioritized.
Corporate Governance: Strong corporate governance practices will be a key consideration.
Regulatory Compliance: Projects must comply with relevant environmental regulations and standards.

ESG Certification and Ongoing Management

Newton Hexon Capital has partnered with leading providers of testing, inspection, and certification services to ensure the fund adheres to high environmental, social, and governance standards. These partners will assess key ESG factors such as energy savings, indoor air quality, and overall sustainability impact.

To underscore its commitment to sustainability, the fund may seek certification from additional international and local bodies as required. Ongoing portfolio management will ensure all investments continue to meet or exceed global ESG standards.

For more information on PMB Investment’s products, please visit www.pmbinvestment.com.my

Recognising visionary leadership and lasting impact

By: Barkar Nash

On: October 23, 2024

In: South-East Asia

The Bangkok Post once more honors outstanding leadership and innovation in the business industry. The” Bangkok Post CEO of the Year 2024″ prizes are a testament to our unwavering determination to recognizing excellent authority.

This week’s awards highlight key executives and top leaders whose advice has transformed businesses into symbols of achievement, progress, and green growth, continuing our tradition of honoring creative and inspirational leaders who have reshaped industries and sparked beneficial change.

The awards recognize not only commercial accomplishments but also the important contributions and lasting efforts these leaders have made to society and the economy across a range of categories. These distinctions highlight the impact of their perspective and commitment, from striking tactics to revolutionary leadership.

This time, 15 prizes may be presented, each accompanied by a unique and compelling narrative that captures the government’s enthusiasm. In the upcoming weeks, we will share the stories of these outstanding leaders, highlighting their accomplishments and contributions to moving both their communities and community ahead.

To level the CEO of the Year 2024 news, the Bangkok Post is launching a unique collection today, with regular features on the awarded CEOs– showcasing their accomplishments, business strategies, and encouraging visions, both in print and online.

Mr. Bandhit claimed that Thai Oil is on the verge of great success as a result of changing its enterprise to conform to international megatrends.

Girding for revolution

The chief executive of Thai Oil has prepared the company for upcoming issues while making sure the workforce’s needs are always at the forefront.

As Thailand transitions toward cleaner energy, Bandhit Thamprajamchit, the company’s chief executive and chairman, is aware of new challenges facing the business as it moves ahead.

He embraces technology and development to ensure the bank’s long-term success while helping Thai Oil change its company strategy in response to growing demand for green energy.

Thai Oil is Thailand’s largest plant and distributor of gas merchandise, producing one of the highest sizes of high-value done petroleum products in Asia-Pacific.

Thai Oil embraces change in order to convert prospective crises into opportunities for growth as it deals with physical challenges like the power transition, the push towards sustainability, advances in artificial intelligence technology, and a statistical shift.

Through its slogan” Empowering Human Life through Sustainable Energy and Chemicals,” Mr. Bandhit made clear that the business was ready to address these physical issues.

Thai Oil has set an aspiration portfolio goal for 2030, which involves reducing the percentage of its petroleum business and high-value petroleum products from 70 % to just 45 % of its overall portfolio. By 2030 the remaing 55 % of the overall portfolio would be made up of the company’s petrochemical business and high-value petrochemical products ( 30 % ), new S-Curve business ( 20 % ), and power business ( 5 % ).

3V Plan

Thai Oil uses three” V’s” to accomplish its objectives and be in line with its total vision, according to Mr. Bandhit, who says the company is aiming to generate the business.

The first” V” refers to benefit maximization, which involves the inclusion of the existing business value ring with the achievement of investment options in the downstream chemical industry as well as the development of high-value products to improve the bank’s competitive capabilities.

This is supported by key business systems, including the Clean Fuel Project ( CFP), and through its investment in PT Chandra Asri Petrochemical Tbk, Indonesia’s largest integrated petroleum company.

The minute’ V’ refers to worth enhancement. According to Mr. Bandhit, this method aims to expand the company’s international areas in order to support a variety of Thai Oil Group items.

In addition to its primary sales center in Thailand, Thai Oil may develop into destination countries that have higher rates of economic and population progress, such as Vietnam, Indonesia and, most recently, India.

The third’ V’ refers to value diversification. Under this strategy, the company will expand its investment into new S-curve businesses that relate to the latest mega-trends, he said.

Parmi the new industries targeted are the chemical industry, which inhibits and eliminates harmful germs, surfactants used in cleaning products ( disinfectants and surfactants ), bio-businesses, and new energy industries, including investment and business creation through corporate venture capital.

3C APPROACH

Through the use of three” C’s,” Thai Oil’s business transformation also includes efforts to reduce its environmental impact.

According to Mr. Bandhit, the business is focusing on achieving its sustainability goals, including achieving carbon neutrality by 2050 and a net-zero target by 2060. The interim goal is to reduce greenhouse gas emissions by 15 % by 2035.

The first’ C’ refers to reducing Thai Oil’s existing emissions. The company is attempting to put Thai Oil’s current production processes to the best possible use by studying and developing net-zero pathways. This is a priority.

The company aims to make up for the remaining amount of greenhouse gases in the second” C,” according to Mr. Bandhit. The second” C” involves compensating for residual emissions.

The third ‘C’ refers to controlling future emissions. The company wants to control the amount of greenhouse gases by adjusting its portfolio to include a significant proportion of investment in alternative low-carbon businesses and products, aligning with its V strategy. Mr. Bandhit claimed that Thai Oil is on the verge of great success as a result of changing its enterprise to conform to international megatrends.

The chief executive of Thai Oil has developed all aspects of the business and communicated the messaging needed to support these changes. He places an emphasis on satisfying the needs of employees so they can produce high-quality work and live a good life, as he believes in the message behind the slogan” Your Value, Our Priority,” which will help Thai Oil develop consistently and sustainably to become a 100-year-old organization.

Bandhit Thamprajamchit President and Chief Executive Officer of Thai Oil Public Company Limited

Dr. Tanupol stated that he intends to increase the percentage that the wellness segment contributes to the group’s overall revenue going forward.

BDMS zeroing in on wellness

Company’s operations aim to generate &nbsp, a larger chunk of overall revenue from its preventive &nbsp, and lifestyle medicine services

The chief executive of Bangkok Dusit Medical Services Plc ( BDMS ) Wellness Clinic and BDMS Wellness Resort, better known as Dr. Amp, is a renowned authority on preventive medicine and lifestyle medicine.

Dr. Tanupol continued his education by studying anti-ageing medicine and becoming certified in the American Board of Anti-Aging and Regenerative Medicine after graduating from Siriraj Hospital’s Faculty of Medicine.

Dr. Tanupol has a lot of knowledge in helping patients adjust their lifestyles, particularly in terms of weight management and the treatment of obesity.

Dr Tanupol is also a best-selling author of several health and wellness books, while his YouTube channel– DrAmp Team– now has more than 1 million subscribers.

” My vision is to improve the quality of life for Thais, and people around the world”, he said.

Dr. Tanupol claimed that as the number of people over 60 increases, the world is becoming an aging society.

In Thailand, this segment accounts for more than 20 % of the population, above the global average of 16-17 %, with people aged 60 and above expected to account for 28 % of the Thai population by 2031.

Another challenge facing human health is the prevalence of non-communicable diseases (NCD ), including strokes, cardiovascular disease, hypertension, lung disease, and obesity.

In 2023, around 77 % of deaths in Thailand were attributed to NCDs, accounting for 380, 000 deaths per year, which is considered to be extremely high.

Thailand also had the highest incidence of obesity in the area.

BDMS reported revenue of over 100 billion baht in the last year, of which only 10 % was made up of the wellness sector, with the rest coming from the treatment of illnesses.

Dr. Tanupol stated that he intends to increase the percentage that the wellness segment contributes to the group’s overall revenue going forward.

Over the past five years, BDMS ‘ revenue from wellness services has increased by 30 % annually, far exceeding the average of 10 % globally.

BDMS Wellness Clinic operates 19 wellness clinics nationwide, including its headquarters in Bangkok, located in Soi Somkid.

The 15-billion-baht Bangkok facility includes a clinic, the Mövenpick BDMS Wellness Resort Bangkok, BDMS Connect Center, which is a meetings facility, along with a private jet service to meet the needs of wealthy clients.

During this year’s second and third quarters, 60 % of the company’s clients were foreigners, mainly from China or the Middle East, who recognise the BDMS brand as the ideal provider of healthcare and wellness services.

Dr. Tanupol noted that the company also employs a number of employees with extensive hospitality industry experience because they are already well-equipped with a service-oriented mindset to provide clients with their services at the clinics.

” My vision is not only driving revenue, but rather to contribute to society, making Thailand one of the world’s leading wellness destinations”, he said.

Thailand is ranked 15th for wellness tourism in 2022, according to the Global Wellness Institute, and BDMS Wellness Clinic wants to improve its position in the world rankings to be among the top five, he said.

He claimed that the group had already made an additional 25 billion dollars to build a wellness complex in Bangkok in an effort to become the “wellness valley of the world.”

It is estimated that the project, which will feature hotels, clinics, and residential units aimed at people who have chosen to adopt a “wellness lifestyle”, will be completed within five years.

Additionally, the business has just introduced the BDMS Wellness Clinic in Laguna Phuket, which is geared toward Russian-born visitors looking for wellness.

BDMS has invested a lot in research and technology in addition to running a leading healthcare group for more than 50 years.

” Today, every aspect of a person’s medical information can be checked”, said Dr Tanupol.

” Medicine today is not a case of “one size fits all.” It’s all about precision and providing more personalised solutions”.

Advanced technology enables in-depth analysis of personal health factors, including aspects pertaining to hormones, andropause, menopause, stress levels, sleep quality, food and diet, and vitamin and mineral levels.

A complete genome genetic test is also available that can help doctors help you plan a healthy lifestyle and determine a person’s risk of developing a disease later.

Tanupol Virunhagarun is the CEO of BDMS Wellness Clinic and BDMS Wellness Resort.

Thapana Sirivadhanabhakdi.

attempting to create a sustainable future

Thapana Sirivadhanabhakdi of ThaiBev is utilizing Sufficiency Economy principles to promote long-term stability and resilience.

Thai Beverage Public Company Limited ( ThaiBev ), led by Thapana Sirivadhanabhakdi, CEO and president, has grown the business into one of the largest beverage conglomerates in Southeast Asia and has also been a proponent of sustainable business practices.

His direction goes beyond profit, highlighting the crucial role that businesses play in promoting social and environmental responsibility.

Under Mr Thapana’s stewardship, ThaiBev has embraced the philosophy of the Sufficiency Economy, as advocated by His Majesty King Bhumibol Adulyadej The Great, King Rama IX.

By using this strategy, Mr. Thapana has demonstrated that sustainability is a potent force for long-term stability and resilience rather than a stopper of growth.

This philosophy, rooted in moderation, responsible consumption, and environmental care, has become a guiding principle for ThaiBev, serving as a case study on how sustainability can be integrated into business operations.

Beyond his own business, Mr. Thapana has collaborated with the Chaipattana Foundation to promote this philosophy as a social foundation for both families and businesses.

For the past five years, Mr Thapana has spearheaded Sustainable Expo ( SX), Asean’s largest sustainability-focused event. The expo brings together government, private sectors, and civil society to foster collaboration on critical sustainability issues, including carbon emission reduction, environmental protection, and the role of technology in achieving these goals.

SX 2024 marked its most successful year, extending the event from seven to ten days, with over 640, 000 participants both online and offline, surpassing the initial target of 500, 000. Of these attendees, more than 227, 000 were young people aged 18-35, highlighting the growing interest in sustainability among the next generation.

The expo featured insights from over 700 speakers representing 270 organisations, all aiming to find practical solutions to global sustainability challenges.

Remarkably, the event generated over 40 million baht in revenue through community product sales and booth exhibitions. All profits went to social organizations and local communities, and ThaiBev kept the costs low for exhibitors, demonstrating the company’s strong commitment to supporting social causes and social good.

The SX initiative sends a clear message that all industries are eager to learn and take steps toward sustainability. Youths ‘ overwhelming participation reflects their growing awareness of the impact of their actions on the future of the planet and their place in it, according to Mr. Thapana, who cited the success of the event.

” Collaboration are crucial for the dimensions of sustainability. We must prioritise the five ‘ P’s– planet, people, prosperity, partnership and peace, to truly drive sustainable progress”, he said.

Mr Thapana credits much of his business acumen to his father, Charoen Sirivadhanabhakdi, the founder of ThaiBev. He learned the importance of” consistency and resilience” in business, especially in times of economic uncertainty.

” If you’re committed to something, you have to continually adjust and solve problems, no matter how small, without giving up”, Mr Thapana shared.

Ethics are also a cornerstone of Mr Thapana’s approach to business. He firmly believes that businesses must collaborate with their partners without petty customers or suppliers.

” Unethical practices destroy sustainability”, he says, underscoring that ethical conduct is key to long-term business success.

Mr Thapana’s success lies in his ability to balance growth with sustainability. He emphasises three key elements– awareness, mindfulness, and adaptability.

First, businesses must stay aware of “disruptions” in the marketplace by understanding consumer behaviour and megatrends. Second, mindfulness and thoughtful decision-making are essential for sustaining both growth and environmental responsibility.

Finally, adaptability is essential to navigating the rapidly evolving global technology and environmental challenges.

Thapana Sirivadhanabhakdi’s leadership reflects a deep commitment to not only building a thriving business but also making a lasting, positive impact on society. The Bangkok Post proudly recognizes him as CEO of the Year in Sustainability Impact Leadership for his remarkable contributions and acknowledges his leadership in shaping a more sustainable future for ThaiBev and society.

Thai Beverage Plc.’s Chief Executive Officer of Thapana SirivadhanabhakdiGroup

Sidec launches Selangor Accelerator Programme 2023

By: Mary Blight

On: July 6, 2023

In: Technology

Applications for startups are open from now until 4 August
The focus of this cohort is on AI, Net Zero, and Biotech

Selangor Information Technology and Digital Economy Corporation (Sidec) has announced the launch of the sixth cohort of the Selangor Accelerator Programme (SAP) 2023. This initiative is backed by the Selangor State…Continue Reading

FA Sustainable Finance Forum: Top Five Takeaways

By: Marcus Ching

On: May 2, 2023

In: Asia, Finance, South-East Asia

In terms of sustainable development goals (SDG), business and investment have long and difficult journeys ahead. Sobering figures from a draft report published by the United Nations (UN) last month reveal that at the end of 2022, just 12% of the SDGs were on track to meet their 2030 targets.

“It’s time to sound the alarm,” the report warned.

“At the mid-way point on our way to 2030, the SDGs are in deep trouble. A preliminary assessment of the roughly 140 targets with data show only about 12% are on track.”

“Close to half, though showing progress, are moderately or severely off track and some 30% have either seen no movement or have regressed below the 2015 baseline.”

The audience at FinanceAsia’s recent Sustainable Finance Asia Forum on April 18 heard that although there is plenty of road to make up on the journey to net zero, so too is there substantial opportunity.

ESG imperatives are changing the way institutional investors approach decision-making, develop sustainable products and operate within new regulatory frameworks.

While the over-arching message of the forum underlined that sustainable goals and driving yield are not inimical, how exactly institutions approach sustainable finance will shape the future.

The following are FA’s top five takeaways from a forum focussed on these frameworks.

***

1. Creativity is key

While sufficient capital may be out there to bootstrap transitional finance in Asia – a region that is bearing the physical brunt of climate change – getting it where it needs to go in emerging markets (EMs) is not working at the scale and speed necessary to effect change.

Emily Woodland, head of sustainable and transition solutions for APAC at BlackRock, told a forum panel exploring the state of play of Asia’s SDG commitments that, as well as climate and transition risks, investors also face the common-or-garden risks that come from operating in EMs.

“There are the general risks of operating in these markets as well – that’s everything from legal, to political, to regulatory to currency considerations,” she said.

“Where finance can help develop new approaches, is around alleviating risks to attract more private capital into these innovation markets, and this is where elements like blended finance come into play.”

To make emerging market projects bankable, de-risking tools are urgently needed.

“That means guarantees, insurance, first loss arrangements, technical assistance which can help bring these projects from being marginally bankable into the bankable space, offering the opportunity to set up a whole ecosystem in a particular market.”

2. Regulation drives change

As investment in sustainable development goals moves from the fringe to the mainstream, institutions are bringing with them experience and learnings that are accompanied by policy, regulation and clear frameworks from regional governments.

Institutions are being asked to lead mainstream investment in the space as increasingly, investment in ESG becomes a viable funding choice.

“The next phase, which is the forever phase, will be when sustainability becomes mandatory rather than just a choice,” Andrew Pidden, Global head of sustainable investments at DWS Group told the forum.

“In the future, you will not be able to make an investment that has not been subject to due diligence with a view to doing no harm – or at least to doing a lot less harm than it is going to supply.”

“People may think this is never going to happen, but people thought this phase (of ESG investment becoming mainstream) was never going to happen 10 or 15 years ago.”

3. China is an ESG bond behemoth

Make no mistake, China is an ESG debt giant. Assets in China’s ESG funds have doubled since 2021, lifted by Beijing’s growing emphasis on poverty alleviation, renewable power and energy security.

According to Zixiao (Alex) Cui, managing director CCX Green Finance International, in 2022, green bond issuance volume alone totalled about RMB 800 billion ($115.72 billion), marking a 44% increase year-on-year (YoY). In the first quarter of 2023, there were 113 green bond issuances worth almost RMB 20 billion.

“Actually, this number decreased compared to last year because right now in the mainland, the interest rate for lending loans from banks is very low so there’s really not much incentive to issue bonds,” he told the audience during a panel on the latest developments in Chinese ESG bonds and cross-border opportunities.

“But over the long term, I think we are on target to achieve a number no less than last year.”

At the heart of this momentum is China’s increasingly ESG positive regulation.

“Policy making is very critical because in the mainland, we have a top-down governance model mechanism which has proven effective in terms of scaling up the market – especially on the supply side.”

4. Greenwashing depends on your definition

When is greenwashing – the overstating of a company’s or product’s green credentials – technically measurable, and when is it a matter of opinion?

Gabriel Wilson-Otto, head of sustainable investing strategy at Fidelity International, told a panel addressing greenwashing and ESG hypocrisy issues, that these transparency and greenwashing concerns are often problems of definition.

“There is a bit of a disconnect between how these terms are used by different stakeholders in different scenarios,” he says.

On one side, is the argument around whether an organisation is doing what it says it is, which involves questions of transparency and taxonomy.

“In the other camp there’s the question of whether the organisation is doing what’s expected of it. And this is where it can get incredibly vague,” he explained.

Problems arise when interests and values begin to overlap.

“Should you, for instance, be investing in a tobacco company that’s aligned to a good decarbonisation objective? Should you pursue high ESG scores across the entire portfolio?” he queried.

“Depending on where you are in the world, you can get very different expectations from different stakeholders around what the answer to these sub-questions should be.”

5. Climate is overtaking compliance as a risk

While increased ESG regulation means that companies must take compliance more seriously, this is not the only driver. According to Penelope Shen, partner at Stephenson Harwood, there is a growing understanding that climate risks are real.

“The rural economic forum global risk survey shows that the top three risks are all related to financial failure directly attributable to climate risk and bio-diversity loss,” she highlighted during a panel called ‘ESG as a component of investment DNA and beyond?’

“In fact, if you look at the top 10 risks, eight of them are climate related.”

The prominence of climate as a risk factor has consistently ranked top of the survey over the past 10 years, she explained.

“Other more socially related factors such as cost of living and erosion of social cohesion and societal polarisation are also risks that have consistently ranked highly,” she noted.

What’s your view on the outlook for green, social and sustainable debt in 2023? We invite investors and issuers across APAC to have your say in the 6th annual Sustainable Finance Poll by FinanceAsia and ANZ.