The Export-Import Bank of Malaysia Bhd (EXIM Bank) has unveiled its EXIM Green Global Initiative, pledging to channel up to RM1.5 billion into sustainable financing by 2027, aimed at supporting environmentally responsible projects.
Speaking at the launch, Investment, Trade, and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz emphasized the initiative’s alignment with the New Industrial Master Plan (NIMP) 2030, particularly its goal of driving Malaysia towards net zero emissions.
“The Green Global Initiative represents a significant step towards decarbonizing our manufacturing sector while capturing opportunities in emerging green growth sectors,” said Zafrul. “Through this programme, businesses, especially micro, small, and medium enterprises (MSMEs) in the export sector, will be better equipped to meet global sustainability standards and build climate resilience.”
Zafrul added that the initiative will play a crucial role in ensuring Malaysian businesses remain competitive in an evolving global landscape increasingly shaped by stringent green standards.
Datuk Charon Mokhzani, Chairman of EXIM Bank, highlighted that the initiative would not only provide financing for green projects but also offer specialized support to businesses in measuring and managing their carbon footprints. Through the EXIM Carbon Calculation Advisory and Support (CCAS) programme, the bank aims to help clients accurately assess their environmental impact.
Additionally, EXIM Bank will offer financial incentives, including covering up to RM10,000 in financing-related fees for businesses applying for green financing. This move is designed to encourage the adoption of energy-efficient technologies and sustainable practices across industries.
One of the initiative’s key goals is to reduce the carbon footprint of Malaysia’s critical palm oil export sector. EXIM Bank plans to promote the use of biochar, a sustainable carbon-rich material that enhances soil health and reduces methane emissions, particularly in palm oil production. This effort aims to support the greening of Malaysia’s palm oil exports and reinforce the industry’s sustainability credentials on the global stage.
“By introducing biochar into palm oil production, we are not only contributing to carbon sequestration but also revitalizing agricultural practices and enhancing the reputation of Malaysian palm oil in international markets,” said Charon.
EXIM Bank’s efforts to promote sustainability extend beyond green financing. The bank has also introduced the government’s Exporters’ Development Incentive Scheme (SIP2), offering a 1.5% subsidy on financing rates to Malaysian exporters and entrepreneurs, encouraging them to seize international business opportunities.
To date, RM215 million has been allocated to 37 companies under this scheme, further supporting Malaysia’s ambitions to foster economic growth through sustainable development.