Page 91 - Bank-Muamalat_Annual-Report-2023

ANNUAL REPORT 2023
SUSTAINABILITY STATEMENT

SUSTAINABILITY

GOVERNANCE

FUNCTIONS AND DECISION MAKING
The Bank understands that establishing a robust sustainability governance structure is crucial to effectively managing key
sustainability issues across all aspects of the organisation. To streamline operations and avoid unnecessary duplication,
our sustainability framework is fully integrated into our corporate governance framework.

Leadership from the Top Comprehensive Support Throughout the Organisation
At the Bank, we embrace a comprehensive and holistic Sustainability Department and Climate Risk Working Group
governance structure that begins at the top, with the provide robust support. Each plays a distinct role in our
Board of Directors taking a central role. They establish a sustainability governance process, ensuring the consistent
robust sustainability culture, implement our sustainability execution of sustainability strategies across the Bank.
and climate risk strategies, and use the sustainability For more details, please refer to the Bank’s sustainability
performance scorecard to ensure accountability governance structure

Board of Directors (BOD)
Board Risk & Compliance Committee (BRCC)
• Steers the Bank’s sustainability and climate risk matters, including incorporating climate risk and opportunities into the risk agenda, strategy,
and appetite
• Overseeing sustainability-related matters and climate risk matters, including overall strategies and monitoring the execution of the strategies

Executive Risk Management Committee (ERMC)
• Advises the Board on strategic sustainability directions
• Ensures the adoption of sustainability and climate risk strategies, frameworks, policies, and procedures for embedding sustainable practices
throughout the Bank
• Assesses sustainability and climate risks and opportunities

Climate Risk Working Group (CRWG) Sustainability Department
• Coordinates the Sustainability Department in managing data • Ensures that on-ground practices are in line with the Bank’s
and matters related to sustainability and climate risk targets and overall sustainability and climate risk agenda and strategies
reporting • Assists in implementing and overseeing sustainability initiatives
• Assists the Sustainability Department in the implementation of and policies, as well as tracking progress toward set targets
sustainability and climate risk initiatives across the Bank • Keeps track of stakeholders’ feedback, the latest BNM’s
• Gathers and organises the sustainability and climate risk data requirements, market trends, and peer performances on
report and data generated by the Sustainability Department sustainable development

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