RHB Banking Group (RHB or the Group) has launched its Sustainable & Transition Finance Framework (STFF), a comprehensive framework in Malaysia structured to support customers at every stage of their sustainability transformation. Developed in alignment with global best practices, including the International Capital Market Association (ICMA) principles and the ASEAN Taxonomy for Sustainable Finance, the STFF has been fully validated by an independent Second-Party Opinion (SPO), Sustainalytics. This external validation underscores the robustness of the eligibility criteria and RHB’s dedication to financing a transparent transition for its clients and the broader economy.
Dato’ Mohd Rashid Mohamad, RHB Banking Group Managing Director / Group Chief Executive Officer said, “RHB’s Sustainable & Transition Finance Framework serves as a strategic roadmap to accelerate the shift towards low carbon economy. By providing clear criteria for sustainable financing and investment, we are bridging the gap for hard-to-abate sectors ensuring they have the necessary resources to transition. This framework will not only help us to mitigate long term climate risks but also empowers our clients to innovate, ensuring that the transition to a sustainable future is both inclusive and economically viable.”
Malaysia has outlined its aspirations through the National Energy Transition Roadmap (NETR) and the 13th Malaysia Plan (13MP), which provides up to RM1.2 to 1.3 trillion investment opportunities for businesses to decarbonise as we transition towards a low carbon economy and net zero. For many companies, particularly those in high emission, hard-to-abate and resource intensive sectors, the transition pathway can be complex due to fragmented financing options. The STFF helps address this by offering a clear, consistent and accessible framework for corporates, GLCs and SMEs to mobilise capital for eligible sustainable and transition activities.
“Sustainability is a long term commitment, and many businesses are navigating transition while managing real operational demands. Through the STFF, we want to make the sustainability pathway more achievable for our customers. Our role is not only to provide sustainable and transition financing, but also to be a purposeful partner in supporting them towards Net Zero,” added Dato’ Mohd Rashid.
The launch event also featured a panel discussion themed “Decarbonisation: Are We Doing Enough to Achieve Net Zero?” with representatives from RHB, Solarvest, and Malaysia Forest Fund (MFF). The event concluded with the signing of a Memorandum of Understanding (MoU) between RHB and MFF to further advance nature-based and transition solutions.
RHB remains committed to delivering on its sustainability agenda under PROGRESS27, including its goal of mobilising RM90 billion in Sustainable Financial Services (SFS) by 2027. As at December 2025, the Group’s cumulative SFS exceeded RM59 billion, and represents close to 66% of its 2027 target.
“When our customers’ progress, our communities progress. And when our communities progress, our nation progresses. The most sustainable decision is not waiting for certainty. It is choosing to begin,” concluded Dato’ Mohd Rashid.
