HSBC Amanah Malaysia Berhad has issued its second Task Force on Climate-related Financial Disclosures report detailing the bank’s action plan in aligning its business with the climate change agenda.
Developed by the Financial Stability Board (FSB) in response to the Paris Agreement, the report is an internationally recognised disclosure framework that is established to focus on the effects of climate change on companies and the resulting financial risks. TCFD is a key to a company’s sustainability strategy and resiliency and will further build trust between investors and customers said Raja Amir Raja Azwa, Chief Executive Officer, HSBC Amanah.
He further added, “climate change presents both risks and opportunities for businesses and individuals. With increased awareness of climate change, the transparency and disclosure of climate-related risks is a key step toward addressing climate data gaps. In our second voluntary TCFD report, we have disclosed the progress made and highlighted the initiatives and approaches that we will be taking especially in understanding and analysing the climate-related risk to our business and operations. We will also take a phased approach to fully align with the TCFD recommendations in several areas such as our financed emissions, our climate risk management capabilities, and our decarbonisation strategy.”
HSBC Amanah’s climate-related strategies are part of a broader commitment to sustainability that is aligned with the Group’s ambition to become a net zero bank.
Globally, HSBC Group is intensifying its support for customers in their transition to net zero. To help its customers get there, HSBC Group’s target by 2030 is to provide between USD750 billion and USD1 trillion of finance and investment towards the
transition.
Additionally, HSBC Malaysia (comprising both HSBC Bank Malaysia Berhad and HSBC Amanah Malaysia Berhad) had earmarked RM1 billion in 2021 towards green and sustainable financing to enable businesses to embark on their sustainability journey and switch to more sustainable ways of doing business – this transaction exhibits some of the work that is being done in tandem with this capital allocation.
