KUALA LUMPUR: CIMB Group
Holdings Bhd is committed to advancing sustainable practices across all the sectors it is involved in through its financing and capital raising activities.
In a statement today, CIMB said it has put in place policies and guidelines to manage environmental and social risks at the client and transaction level, including sector guides for high sustainability risk sectors.
"CIMB Group announced its coal policy in December 2020, which included its target to phase out coal from its portfolio by 2040.
"Since then, the group has not provided any new financing in contravention of this policy,” it said.
CIMB said it has also strengthened its commitment in this area by setting an interim target of halving its financing and investment exposure to the thermal coal mining sector by 2030, towards achieving the complete coal phase out target by 2040.
"This interim target is in alignment with the Paris Agreement’s goal of limiting global temperature increase to 1.5 Celcius degrees and will also support CIMB’s commitment to achieve net zero greenhouse gas (GHG) emissions, including scope three financed emissions, by 2050,” it added.
A news report emerged recently urging major banks, including CIMB, to stop funding Indonesia’s largest coal miner Adaro Energy after the company plans to increase coal production to 58-60 Million tonnes (Mt) this year from 52.7Mt in 2021. - Bernama
