KUALA LUMPUR: OCBC Bank (Malaysia) Bhd has inked an agreement with Malaysian Green Technology and Climate Change Corporation (MGTC) to incorporate its online carbon management platform Low Carbon Operating System (LCOS) into its transition financing plan for corporate and SME customers.

With the signing, OCBC Bank is the first financial institution in the country to formulate specific plans to help businesses decarbonise their greenhouse gas (GHG) emissions using MGTC’s LCOS. The platform will guide them to improve efficiency, reduce wastage in their business activities and ultimately achieve long-term cost savings.

LCOS helps businesses measure their carbon footprint, so emissions are well managed. Using a report that LCOS generates, companies can take impactful action to mitigate the amount of carbon their operations produce.

OCBC Bank CEO Tan Chor Sen said that as a financial institution with over 90 years’ experience working with the communities around it, OCBC Bank looks forward to working with corporates and SMEs in the collective national quest to achieve net zero GHG emissions as early as 2050.

“We are pleased to be collectively working towards regional sustainability. The OCBC Group has set a sustainable financing target of S$50 billion by 2025. Today’s event marks yet another milestone in the journey to get there,” he added.

Meanwhile, OCBC Bank managing director and head of corporate & commercial banking Jeffrey Teoh said the initiative is part of the Bank’s commitment to leading the sustainability transition journey in the region.

MGTC CEO Shamsul Bahar Mohd Nor said that ESG developments are driven by the growth in the global supply chain, which also sees SMEs abiding by the procurement obligations set out by multinational companies.

“ The financial sector holds enormous power in funding and accelerating the global transition to a low-carbon economy. They can offer services or direct capital flows to projects with meaningful social and environmental impacts, motivating others to improve their sustainability performance. We hope this collaboration will help OCBC Bank’s customers achieve their financial goals and aspirations to contribute to a more sustainable world,” he said.

Source: The Sun Daily