Kuala Lumpur, 9 December 2024 – AEON has launched the #AEONResponsible Suppliers Program, an initiative developed to empower suppliers to strengthen their Environmental, Social, and Governance (ESG) practices. The program provides suppliers with essential support, including access to specialised resources, capacity-building opportunities, and financial incentives.
AEON is grateful to be the first retailer in Malaysia to launch an ESG-focused supplier program in collaboration with Bursa Malaysia and CIMB (collectively represented by CIMB Bank Berhad and CIMB Islamic Bank Berhad). The program leverages the Centralised Sustainability Intelligence (CSI) Solution platform, developed by Bursa Malaysia in partnership with the London Stock Exchange Group which serves as a comprehensive solution to support Malaysian companies in facilitating ESG disclosures – by providing tools to assess carbon emissions across companies’ value chains and streamlining companies’ sustainability reporting.
The program emphasises capacity-building opportunities, equipping suppliers with the necessary tools and knowledge to enhance their ESG practices. Additionally, in collaboration with CIMB, AEON’s suppliers will have access to CIMB's suite of sustainable finance offerings to support the use of green technology, adoption of sustainable business practices, and transition to low carbon operation. This includes CIMB’s Sustainability-Linked Financing (SLF) for SMEs with an allocation of RM3 billion through 2030, whereby AEON's suppliers will be able to benefit from financing rebates of up to 0.50% per annum when they achieve pre-agreed sustainability performance targets set.
The launch which was held at the Theatrette in Bursa Malaysia Berhad on 2 December, was graced by Naoya Okada, Managing Director of AEON, along with Gurdip Singh Sidhu, Chief Executive Officer of CIMB Malaysia and CIMB Bank Berhad, and Wong Chiun Chiek, Director of Bursa Intelligence, Bursa Malaysia. Also, in attendance were AEON’s suppliers participating in the program as pioneering participants.
“At AEON, our commitment to customers extends beyond products, it includes sourcing responsibly and ethically. This program invites our suppliers to elevate their ESG standards, fostering a collective commitment to a sustainable future. It strengthens the trust and transparency we share with our customers, assuring them that we are supporting a supply chain grounded in responsible, environmentally conscious practices.” said Naoya Okada.
He added, “This program embodies AEON’s commitment to driving meaningful change as we commemorate our 40th anniversary in Malaysia. It aligns with our ambitious goals of achieving carbon neutral by 2040. In partnership with our suppliers, we strive to driving a low-carbon economy that creates lasting value for all stakeholders.”
Wong Chiun Chiek, Director of Bursa Intelligence, Bursa Malaysia said, “As one of Malaysia’s key retailer and mall operator, AEON (M) leads by example in greening its diverse supply chain of multinational and SME retailers and suppliers, to accelerate ESG efforts. We are pleased to support AEON through Bursa Malaysia’s Centralised Sustainability Intelligence (CSI) Solution in meeting the rigours of ESG global standards and driving sustainable value across their entire value chain.
Gurdip said, “We are pleased to play a key role in supporting the #AEONResponsible Supplier Program, a pivotal initiative to accelerate supply chain decarbonisation, particularly among SMEs. As supply chains are crucial to the nation’s decarbonisation efforts, CIMB’s financing programmes aim to facilitate this transition, enabling businesses to integrate sustainability practices into their operations while remaining competitive in the market. This partnership also highlights our dedication to fostering sustainable development across industries, supporting AEON to lead the shift to a low-carbon economy, strengthen supply chains and create long-term benefits for both the economy and the environment.”
The event also featured an engaging panel discussion titled Building a Resilient Supply Chain: Solutions, Collaborations, and Financing Opportunities for ESG Excellence. The session, moderated by Dominic Chegne, Partner of Risk Assurance Services at PwC, brought together esteemed panelists, including Tengku Adrinna, Head of Sustainability at AEON, Wong Chiun Chiek, Director of Bursa Intelligence at Bursa Malaysia, and Azmir Abdullah, Head of Sustainable Finance, Commercial & Transaction Banking at CIMB Group. Their insights provided valuable perspectives on driving ESG excellence through strategic solutions, partnerships, and financial innovation.
As a leading retailer, AEON recognises its pivotal role in supporting a just transition towards sustainability across Malaysia’s supply chain landscape. Through the #AEONResponsible Suppliers Program, AEON aligns ESG ambitions with actionable outcomes, ensuring that suppliers of all sizes, from conglomerates to SMEs, are equipped with the knowledge and support to succeed. By empowering suppliers to embrace sustainable practices, AEON champions inclusivity in the supply chain while addressing evolving consumer demand.
AEON remains a constituent of the FTSE4Good Bursa Malaysia Index and the FTSE4Good Bursa Malaysia Shariah Index for the second consecutive year, continuously demonstrating strong economic, environmental, social and governance (EESG) practices.