Standard Chartered, Etika Seal Rm251m Esg-linked Derivative Transaction

Standard Chartered Malaysia has entered into an RM251 million environmental, social and governance (ESG)-linked derivative transaction with beverage maker, distributor and marketer Etika Group. In a joint statement, they said this marks the first such transaction executed by a home-grown fast-moving consumer good (FMCG) corporate in Malaysia. The transaction involves a pricing mechanism in which a discount or premium will be applied depending on whether Etika achieves the pre-agreed sustainability-related key performance indicators (KPIs) that are tied to the greenhouse gas emissions intensity of its beverage and dairy plants.