Sustainability is a modern topic that impacts our society today. The sustainability (ESG) includes many dimensions, the Environmental dimension such as climate change and resource scarcity, social dimension, such as caring of employees, financial inclusion and data privacy, and Governance dimension, such as board composition, anti-corruption and bribery, and ethical business practices. Collectively, these are commonly referred to as ESG (Environment, Social, and Governance).
The emerging practice in Islamic finance of integrating social solidarity instruments, (i.e. Takaful) and risk-sharing principle (i.e. Murabaha), closes the gap between the existing models of traditional banking and financing, and aligns greatly to a for-profit social enterprise. Islamic financial institutions, through their progressive approaches in developing their line of products and services, are making a positive and sustainable presence on communities.
KFH EESG statement: KFH Kuwait commits to delivering the highest quality of inclusive banking products and service excellence, generating and promoting positive impacts and returns to all stakeholders, while preventing and mitigating negative implications. It commits to address and protect its stakeholders’ evolving needs and wellbeing, preserve natural resources consumption in services, products, and operations. It governs according to Islamic Principles in achieving financial growth, developing banking services, addressing risks and opportunities, & conducting stakeholders’ relations.
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