DBS Bank (Hong Kong) SME Banking has released the DBS BusinessClass SME Sustainability Report, revealing that nearly 70% of small and medium-sized enterprises (SMEs) are interested in integrating Environmental, Social, and Governance (ESG) strategies into their business operations. However, financial constraints remain a significant challenge.
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The report was unveiled alongside the DBS BusinessClass: SME Sustainability Bootcamp, aimed at empowering local SMEs to embark on their sustainability journey. Christopher Hui, Secretary for Financial Services & the Treasury, HKSAR Government, participated in the event, emphasizing the importance of green development and sustainable practices.
Consumer demands drive SMEs towards sustainable practices
Over 100 Hong Kong consumers expressed a strong preference for sustainable merchants, with 91% having a positive impression of businesses embracing sustainability. Additionally, nearly 80% are willing to pay more for sustainable products, indicating a significant market demand for SMEs to transition towards more sustainable business models.
Challenges for Hong Kong SMEs in pursuit of sustainability
While SMEs in Hong Kong are increasingly aware of regulatory-driven initiatives, cost and expertise remain top challenges. Funding constraints are the primary challenge, with 73% of SMEs identifying financial limitations. Moreover, 76% anticipate increased operational costs with Municipal Solid Waste (MSW) charging. Concerns regarding manpower and resources are also prevalent.
DBS Hong Kong’s support for SMEs’ low-carbon transformation
DBS Bank Hong Kong is committed to supporting SMEs in their sustainability journey. In partnership with KPay, DBS Hong Kong has introduced offers aimed at bolstering the low-carbon transformation efforts of SMEs. Additionally, DBS offers preferential loan pricing to SMEs implementing low-carbon initiatives.
SMEs can enjoy a low-carbon SME package worth up to HK$28,888, including banking privileges upon successful online business account opening, preferential loan pricing from DBS Hong Kong, and merchant services offers from KPay, upon completion of designated paperless tasks.
The DBS BusinessClass SME Sustainability Report 2024 sheds light on the sustainability landscape and assesses SMEs' readiness towards MSW charging. The report interviewed 224 local SME representatives and 108 individuals under DBS Hong Kong BusinessClass.
DBS BusinessClass, in collaboration with supporting organizations, hosted the “DBS BusinessClass: SME Sustainability Bootcamp” on April 17, 2024, aiming to provide inspiration and practical resources to empower local SMEs on their sustainable journey.
