Islamic banks are well-positioned to drive sustainability, says HSBC Amanah CEO

The organised an exclusive leadership interview with the CEO of HSBC Amanah, Arsalaan Ahmed (Oz), titled ‘Can Islamic Banks Lead in Building a Sustainable Financial System?’

Interviewed by Daud Vicary, Chairman of Advisory Board of IslamicMarkets, Arsalaan shared HSBC Amanah’s expertise in championing sustainability and explained how Islamic banks should lead by example in driving sustainability.

He also highlighted the role of Malaysia’s Value-Based Intermediation (VBI) in empowering Islamic banks and the critical role of leadership in instilling a sustainability culture within Islamic banks’ value chain.

When asked about the United Nations (UN) Sustainable Development Goals (SDGs) and Islamic finance alignment, Arsalaan shared the example of the world’s first UN SDG Development Goals Sukuk that was launched in 2018 by HSBC Amanah and how the nature of Islamic finance is closely aligned with sustainability. Arsalaan also emphasised how willingness and ability are key ingredients for Islamic banks to drive sustainability.

When asked how HSBC Amanah’s was planning on becoming the HSBC Group’s first sustainable bank, Arsalaan shared the bank’s plan to grow their triple bottom line (People, Planet, Profit) assets. Arsalaan added that HSBC Amanah is leading with this project because of their early work and progress on VBI, and “the nature of Islamic finance that aligned with sustainability in a way that will resonate with people”. He also noted that HSBC Amanah benefits from HSBC Group’s leadership in Sustainability. Arsalaan asserted that the vision is to create a “mainstream commercial bank as a sustainable bank”.

Arsalaan concluded the session by stressing the need to accelerate practitioners’ adoption of sustainability and Environmental, Social, and Governance (ESG) practices, and the importance of innovation especially in these desperate times where equity-based contracts and Islamic social capital can help innovate solutions.

The live session also covered other points on the importance of purpose-driven organisations to be able to innovate and drive change, how to define “sustainable banks”, the significance of non-financial disclosures as a sustainability metric, and how sustainability goes beyond the environment variable as evidenced by the Covid-19 social crisis.


Please enter your comment!
Please enter your name here

Latest News

Jeffrey Cheah Foundation to launch endowment fund

Malaysia’s largest education-focused social enterprise Jeffrey Cheah Foundation, has announced its plan to launch an endowment fund. The endowment fund targets to...

Ferrari Malaysia introduces the SF90 Stradale

Naza Italia, official importer and distributor of the Ferrari brand in Malaysia, has launched the highly anticipated SF90 Stradale, in conjunction with...

MARii signs MoU with Persona to develop human capital development programme

The Malaysia Automotive, Robotics and IoT Institute (MARii) and Persona Energy Sdn. Bhd. (Persona) has inked a Memorandum of Understanding (MoU) to...

Service sectors record 1,316 approved projects with investments of RM28.6 billion.

From January to June 2020, the nation's services sectors recorded 1,316 approved projects with investments of RM28.6 billion. These...

Manufacturing sector attracts largest portion of approved investments for 1H2020

Malaysia recorded a total of RM64.8 billion worth of investments in the manufacturing, services and primary sectors for the first six months...

Must read

Empowering Malaysians to become informed investors one app at a time

With a goal to build 500 applications that focuses on enabling action, Reactive Labs, co-founded by George and Riza, aims to go...

Bigo Live: A growing sensation in an industry with a big appetite

The live-streaming industry has seen a massive growth in years. From the likes of Vimeo to Facebook Live, the industry has grown...

Embed a proper digital literacy lesson in the school curriculum

By Afifah Suhaimi Amidst the drastic growth of internet users this year – with almost one million additions compared...

How to hire talent in a post Covid-19 world

According to the Global Startup Ecosystem Report from Start-up Genome, 72 percent of startups saw an average of 32 percent fall in...