• PRESS RELEASES

RAM Sustainability assigns Silver2 Sustainability Rating to MIDF

Published on 22 Apr 2022.

Share Tweet Email

 

RAM Sustainability has assigned a Silver2 (S2) Sustainability Rating to Malaysian Industrial Development Finance Berhad (MIDF or the Group). MIDF is the first developmental financial institution to receive a Sustainability Rating.

The rating is anchored primarily on the Group’s strong corporate governance, its contribution towards supporting small and medium-sized enterprises (SMEs), and its role within the capital market in developing green and sustainable finance, among other factors.

The Group’s environmental performance moderates the rating. MIDF’s adoption of environmental best practices across its operations and processes is still at a nascent stage. The Group has yet to undertake a complete measurement, target-setting and monitoring of its environmental footprint.

“As one of Malaysia’s pioneering developmental financial institutions, MIDF has an established track record in financing and supporting SMEs,” says Gladys Chua, RAM Sustainability’s head of sustainability services. “The Group continues to demonstrate a clear intention and strategies to broaden financial inclusion and catalyse its positive impact in supporting the SME space through digital banking,” Chua adds.

MIDF has displayed an awareness of the importance of responsible and sustainable finance, seen in the Group’s establishment of an exclusion list and ESG Policy to inform its investment and financing decisions. However, the overall scale and impact of financing extended by the Group for green and sustainable projects remain modest relative to peers. 

RAM Sustainability is a provider of sustainability services and environment, social and governance analytics. Incorporated on 31 May 2000, RAM Sustainability is a wholly owned subsidiary of RAM Holdings Berhad. RAM Sustainability is the first ASEAN-based provider of sustainability ratings and second opinions and has the distinction of being the first Registered Observer of the International Capital Market Associations’ (ICMA) Green Bond Principles (GBP), Social Bond Principles (SBP) and Sustainability Bond Guidelines in ASEAN. It is a member of ICMA’s Advisory Council to the GBP and SBP Executive Committee for a third consecutive term. On 12 August 2020, RAM Sustainability became an Approved Verifier for the certification of climate bonds under the Climate Bonds Standard & Certification Scheme after having been awarded the status by the Climate Bonds Standards Board. For further details, please refer to https://www.ram.com.my/sustainability.

 

Analytical contact
Lee Han Jie
(603) 3385 2548
hanjie@ram.com.my



Publication Date Published Category
Malaysian Industrial Development Finance Berhad Corporate Sustainability Rating Report 21-Jun-2022 Sustainability Ratings View PDF

Loading...