Reduction of Financed Emissions

Reduction of financed emissions is a critical component of RHB Banking Group's Net Zero Strategy, given that these emissions represent a significant proportion of our total GHG emissions profile, far exceeding direct operational emissions. This makes it a priority area for impactful climate action, where RHB Banking Group actively works to decarbonise high emission sectors by embedding climate considerations into our financing decisions, thus supporting clients in their transition journey.

This reduction is part of RHB Banking Group’s Net Zero Strategy, which aims to Achieve Net Zero Emissions by 2050. It falls under Strategic Objective 1: Reduction of financed emissions in five high-impact sectors within our business.

2030 Target:

Achieve 20% reduction in Financed Emissions for the top five high-impact sectors within our business

2050 Target:

Achieve up to 96% reduction in Financed Emissions for the top five high-impact sectors within our business

Our Approach for Strategic Objective 1

• Accelerating Clients’ Decarbonisation Journey

  We help catalyse clients' decarbonisation journeys across five high-impact sectors via a Tiered Client Engagement Approach. We support adopting cleaner technologies and enhancing operational efficiencies, directly reducing emissions. Our internal Climate Risk Dashboard monitors performance and tracks financed emissions.

  
  
  
• Mobilising Sustainable and Transition Finance

  Mobilising sustainable and transition finance is central to reducing financed emissions. By driving green and transition financing solutions, we accelerate clients' low-carbon transitions. This aligns their growth with climate-resilient pathways, naturally leading to a decline in financed emissions.