Hong Leong Islamic Bank Joins National Initiative to Help Halal SMEs Transition to Sustainable Practices
PETALING JAYA, Feb 25 — Hong Leong Islamic Bank (HLISB) has joined the Greening Halal Businesses (GHB) initiative led by Bank Negara Malaysia to support halal small and medium enterprises (SMEs) in adopting sustainable business practices.
The programme, supported by Ministry of Finance Malaysia, the Islamic Development Bank and the World Bank, aims to help halal SMEs integrate environmental, social and governance (ESG) principles into their operations.
HLISB said its participation reflects its commitment to ensuring halal businesses remain competitive as global markets increasingly prioritise sustainability.
AI-powered carbon management tools for SME customers
As part of the initiative, HLISB has signed an agreement with carbon management platform Pantas to provide SME customers with tools to track and report their carbon emissions.
The collaboration will enable businesses to monitor both direct and indirect greenhouse gas emissions using specialised software.
In addition to technology access, HLISB will also provide training programmes to help SMEs understand and implement ESG practices.
The move is expected to help halal SMEs align with international sustainability standards.
Government subsidy supports implementation costs
SMEs participating in the programme can apply for subsidies of up to RM5,000 to cover subscription costs.
The subsidy is funded through a RM15 million allocation by the Ministry of Finance.
HLISB chief executive officer Dafinah Ahmed Hilmi said the initiative supports the bank’s broader strategy to strengthen Malaysia’s halal ecosystem.
She said adopting ESG practices can enhance business value while ensuring continued compliance with Shariah principles.
Green financing opportunities to expand from 2026
Starting in 2026, the GHB initiative will also introduce green financing options to support ESG-related projects.
This is expected to accelerate sustainability efforts among halal SMEs.
The initiative aligns with Malaysia’s ambition to remain a global leader in the halal industry while promoting environmental responsibility.
-wilayah.com.my
