DBS Hong Kong survey reveals SMEs' readiness for sustainability

SME Banking
22/04/2024 News

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.

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.

Related news & insights

SME Banking
14/06/2024 News

UOB launches SAGE programme to support SME sustainability

This initiative simplifies sustainability-linked financing for SMEs by offering preferential loan rates from UOB for those meeting pre-agreed sustainability performance...

Digital Reinvention
13/06/2024 Article

Financial Innovation Spotlight: June 2024 edition

We've handpicked five new and intriguing projects that caught our attention.

Mobility
13/06/2024 News

CA Auto Bank unveils sustainable development plan 2024-2026

Centered on Environmental, Social, and Governance (ESG) principles, the plan aims to foster impactful change across its operations.

ESG
13/06/2024 News

BIS and MAS unveil blueprint for climate risk platform

This initiative, known as Project Viridis, was developed at the BIS Innovation Hub Centre in Singapore.

Mobility
12/06/2024 Article

AutoMobility Insights - June 2024 edition

The latest news from the automotive industry curated and commented by the experts at Corporate Value Associates (CVA).

ESG
12/06/2024 Video

Setle + KBC: Empowering sustainable home renovations

Thibaut Nivelles, Founder of Setle, and Peter van Hees, Innovation Manager of the Ecosystems team at KBC, discuss their successful...

Insurance
12/06/2024 News

Discovery wins twice at the Qorus Innovation in Insurance Awards 2024

Discovery has claimed two top accolades at this year’s Qorus Innovation in Insurance Awards, at a ceremony in Lisbon showcasing...

Insurance
12/06/2024 News

Generali honoured at the Qorus Innovation in Insurance Awards 2024

The Group was awarded one gold and one silver: a new achievement in Generali’s innovation journey sees the Company continuing...