The ASEAN CSR Network (ACN) welcomes the Association of Banks in Singapore’s (ABS) recent guidelines on responsible financing for Singapore banks. 

As Singapore is a major financial hub, the new guidelines are a good start in ensuring banks have a framework to be aligned with the growing global movement for Environmental, Social and Governance issues to be addressed when screening customers and prospects for loans and investments.

Although not mandatory, ASEAN CSR Network believes it is a step in the right direction in getting the stakeholders of errant agri-resources companies, particularly the banks, to put pressure on these companies to find stronger and more viable solutions in addressing the growing and worsening haze issues. 

Based on ASEAN CSR Network’s consultations in 2013 onwards, the cause of haze also includes issues of livelihood, governance, corruption, respect for human rights and decent work agenda – all causes which ACN supports.

The transboundary haze problem has been going on for many years, with little progress shown When Pollutant Standards Index (PSI) levels hit the unhealthy range in many ASEAN countries, it affects not only the health of many ASEAN peoples but also the quality of living and business in the region. Now is the time for all stakeholders to act collectively and work with agri-resources companies, civil society and governments to tackle the root causes while making it difficult for errant companies to continue their irresponsible behaviour.

The latest set of guidelines, together with actions taken by the Singapore Environment Council in conducting checks to ensure the paper products it certifies are not linked to the haze promoting consumer action, is a case in point of multiple parties acting collectively for the common good.

This bodes well for Singapore’s efforts to implement responsible business or Corporate Social Responsibility (CSR) and for companies to realise that CSR is more than just philanthropy, charity or compliance. If implemented strategically and holistically, CSR can help transform businesses from merely profit-driven entities into agents of change for responsible and sustainable development.
 
Mr Thomas Thomas, CEO of ASEAN CSR Network said: “We welcome the progress taken during the past few weeks by multiple parties and we look forward to seeing more collective action to encourage responsible business conduct.”