Banks urged to support energy transition, food security initiatives

KUALA LUMPUR: Financial institutions are urged to support some of the Madani Economic Framework’s biggest initiatives by funding efforts to increase food security and develop energy transition projects.

In his speech to bankers and financiers, Datuk Seri Anwar Ibrahim also appealed to them to fund efforts to digitally transform small and medium enterprises.

However, the Prime Minister said such efforts must not be done according to past practices but must take into account the post-normal era where chaos, complexity and contradiction are the norm.

At the same time, these efforts must not prioritise making profits at all costs but balance that drive with humane principles such as looking after workers’ welfare and aiding low-income groups, Anwar said.

“These three areas require immediate steps and they will be successful with the efforts of all, the government, ministries and financial institutions, especially Maybank,” Anwar told the audience of Maybank management and staff during a gathering at the bank’s headquarters here on Feb 19.

“I am stressing Maybank in front of all these other bankers because they are supposed to take the lead. So if anything goes wrong, blame Maybank,” Anwar jokingly said to the audience.

For instance, banks and financial institutions must provide funding for domestic power producers who want to transition from fossil fuels to green sources such as solar and hydrogen, Anwar said.

“When it comes to digital transformation, it requires us to be fast and immediate,” Anwar said, stressing that the old ways of training professionals were no longer applicable.

Instead of waiting for university graduates to have adequate skills and niche knowledge, banks, he said, could look to artificial intelligence to train them in these fields.

“The process must be quick and comprehensive because the pace of change is unprecedented”.

Anwar, however, emphasised that all of the above efforts must be underpinned with humane values and a focus on public interest.

“Unbridled capitalism creates a disconnect between financial elites and the masses. Bankers back then did not pay attention to this but now they do. Otherwise we end up creating financial instruments that create inequality.

“So continue what you are doing but remember that there is no meaning to life without compassion and humane values.”