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Writer's pictureAqila Hanif

MSMEs is Right in the Middle of ESG

UNTIL #carbonmarket turns into a compliance mode, regional brotherliness is the job of all #voluntarymarket operators.


MOST nations around the world are deeply entrenched with businesses in the hands of #smes that contributed the major part of carbon in #scope3emissions.


SUPPLY chain which add values to global trade is where #carbonreduction has to take precedence.


IT is crucial in the #justtransition for smaller firms with larger aggregate #co2 component to be given recognition for the #climateaction promoted by giant corporations.


IN #malaysia, 78.7% or 923,667 firms (2022) were micro-enterprises, mainly in e-commerce and last mile deliveries.


MICRO enterprises are the greatest potential #vcm carbon credit buyers since they service chiefly all the #mncs, #glcs, #glics, and large corporate as sub-contractors.


CARBON offset is a cost effective alternative for micro-enterprises to partake in #decarbonization, and assist #malaysia to achieve its #climategoals, come 2030 or 2050.


PROVIDING a pathway for #msmes (accounting for 97.4% of the total business in Malaysia) to grow is as good as helping the other 2.6% of #malaysian economy to retain its export vibrancy.


NO different from Pareto Theory (PT), 80% of the greening efforts must be spent on #esg relating to MSMEs, to also raise the national wage decency.


THE other 20% of the PT, by principle of being resource rich and organizational supreme, will guide the 80% of the business community, through "ESG Vendor Development Initiative".


WAY forward, the carbon fratenity is future proofing the universe as well as humanity, against the ever-blossoming green #gdp.



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