KUALA LUMPUR: CIMB Group Holdings Bhd has raised its sustainable finance target to RM100 billion by 2024 under the company's green, social, sustainable impact products and services (GSSIPS) framework.
The target was revised after the group achieved its RM60 billion target announced in 2022.
To date, CIMB has mobilised around RM70 billion in sustainable finance since 2021.
The target is complementary to a series of enhanced sustainability commitments which the group announced in 2021.
This includes the aim of achieving net zero greenhouse gas emissions, that include Scope 3 financed emissions by 2050.
"The sustainable finance commitment is guided by CIMB's GSSIPS framework, which serves as an internal taxonomy for the group to deliver impactful sustainable finance.
"In line with the framework, CIMB's commitment includes, among others, green, social and sustainable, as well as sustainability-linked, retail, corporate and commercial financing, trade financing, debt and equity capital markets, wealth management and treasury solutions," it said.
The new target was announced at the opening day of The Cooler Earth 2023.
During the summit, CIMB also announced partnership with Bursa Malaysia to leverage its Bursa Carbon Exchange (BCX) that provides a streamlined platform for high-quality carbon credits trading via standardised contracts.
The collaboration consists of collaborative capacity building initiatives and potential exploration to allow CIMB to conduct carbon credit transactional services via the BCX platform.
This includes the seamless execution of diverse transactional services such as the trading of carbon credits and the retirement of these credits.
Group chief executive officer Datuk Abdul Rahman Ahmad said the threefold increase in its sustainable finance target was attributed to the group's accelerating adoption of environmentally and socially responsible practices.
"This trend is encouraging, and further reinforces our conviction that the transition towards greener and more resilient economies presents significant new opportunities for financial institutions such as banks to grow our business," he said.