SME Malaysia – July 2019

A NEW MODEL FOR PERSONAL AND

SMALL-BUSINESS BORROWING

M

odern companies

are waking up to

the wider impact of

their business on

society, the

economy, and the

planet itself. No

longer is it sufficient

for a business to

devote its efforts purely to the bottom line

• now there is a much greater focus on how it
  applies its values – driving all of its practices
  and its ability to service its client base and
  nurture its stakeholders. This trend is driving
  a longer-term, holistic outlook which is
  transforming businesses.

AN ETHICAL TREND

Listed companies around the world are now

required to report their impact according

to a range of ESG (environmental, societal,

corporate governance) factors, and this trend

is having a significant bearing on investment:

the growth of more socially-responsible

products give investors the choice to allocate

funds to companies that do less harm

to society or the planet. This approach

acknowledges society’s changing values and

also enables investors to influence outcomes

by rewarding policies and practices they

approve of.

For those who provide lending products

and services for smaller businesses, a

(^20) FEATURE
BY
JAMES
CHEOW