Khazanah aims for more sustainable business model with launch of framework
KUALA LUMPUR - Khazanah Nasional Bhd has launched its sustainability framework and medium-term targets to guide the nation’s sovereign wealth fund and its key investee companies to deliver sustainable value by integrating Environmental, Social and Governance (ESG) considerations into their core businesses.
Managing director Datuk Amirul Feisal Wan Zahir said sustainability is a core part of its Advancing Malaysia strategy introduced earlier this year, under the pillar of Creating a Sustainable Future.
"To execute a coherent response to sustainability, we will adopt an all-of-Khazanah approach - covering all aspects of how it behaves as a responsible investor, as a sustainable organisation, and as a good corporate citizen.
"This means that sustainability is embedded into everything that we do, from how we manage our investments, to how we operate as a firm, and how we support and contribute to the societal development objectives of the nation," he said in his speech at the launch of the Khazanah Sustainability Framework and Targets: Investing in a Sustainable Transition 2022 here, today.
The Sustainability Framework introduced by Khazanah is designed to be holistic, anchored on the three main pillars of ESG and focuses on issues which most impact the organisation and its portfolio from a business materiality point of view.
Amirul Feisal said Khazanah’s aspiration is to play a leading role in shaping an equitable and responsible transition towards a sustainable future for Malaysia.
As the country’s sovereign wealth fund, he said it is pivotal for Khazanah to ensure that its actions support and encourage a responsible transition towards a more resilient and inclusive economy.
He also pointed out that due to the complex and diverse nature of companies in its portfolio, Khazanah will take a collaborative approach to work with its investee companies to shift towards a more sustainable business model, ensuring that these companies remain competitive and resilient amid challenges, as well as enabling them to take advantage of sectors and themes benefitting from ESG tailwinds. - BERNAMA
