OCBC rolls out free ESG assessment tool for SMEs

Large companies can request to onboard their SME suppliers.

OCBC has launched OCBC PULSE, a free online sustainability and governance assessment tool for small and medium enterprises (SMEs).

SMEs can assess their environment, social, and governance (ESG) performance whilst large companies can also see the ESG performance of their SME suppliers, OCBC said.

OCBC PULSE is available across all of the bank’s core markets of Singapore, Malaysia, Hong Kong, and Indonesia.

Large companies are raising their sustainability ambitions and are raising expectations for SME suppliers to adopt sustainable practices and track their ESG performance, the bank said.

Large suppliers can request to onboard their suppliers onto OCBC PULSE, the bank said.

SMEs taking the assessment will complete questions related to ESG, and when needed, will have to submit relevant document validation to substantiate their responses. SMEs will receive a comprehensive report after completing the assessment.

SMEs that wish to track their progress can repeat the assessment over time.

“Available at no cost and being easy to use, it lowers the cost and complexity for SMEs to start taking action to track and improve their ESG performance, and enhances their access to financing with us,” said Elaine Heng, head of global commercial banking at OCBC.

OCBC said that it will pilot the tool with its own suppliers through its procurement operations.

OCBC said that the roll-out of OCBC PULSE is part of its ambition to support 12,000 SMEs across its four core markets with sustainable financing by 2028.