Greening Value Chain (GVC)

Enabling sustainable supply chains

GVC logo

The Greening Value Chain (GVC) Programme is an initiative launched by Bank Negara Malaysia (BNM), Pantas and relevant climate solution partners to incentivise and assist Malaysian SMEs in implementing impactful, long-term change to green their operations

Through GVC, Pantas enables:

  • Anchors (corporate buyers) to manage their supply chain emissions
  • Suppliers to access free carbon management solutions and education
  • Suppliers to benefit from low-cost financing
  • Banks to provide sustainability-linked financing
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GVC logo

Benefits of GVC as an

Get ahead of regulations

Comply with current and upcoming regulations mandating emissions disclosure and other environmental-related regulations

Manage supply chain emissions

Easily measure, track and manage emissions arising from supply chain (Scope 3)

Educate your supply chain

Provide tools and education for suppliers to manage their emissions

Gain competitive advantage

Obtain a competitive edge in procurement, protect export revenue streams and secure deals with large multinational buyers

How it works as an anchor
1
Calculate emissions

Subscribe to Pantas to measure, manage and disclose carbon emissions.

2
Participate in GVC

Participate in GVC and provide suppliers with Pantas climate solutions, relevant training on climate change, carbon management and upcoming regulations.

3
Manage supply chain emissions

Pantas climate solutions enable the anchor to monitor and manage supply chain emissions.

Suppliers are also encouraged to comply through other various incentives such as larger and more frequent orders from the anchor (as a result of being a sustainable supplier).

Obtain low-cost financing

Access low-cost financing through Bank Negara Malaysia's RM2 billion Low Carbon Transition Facility (LCTF) and bank's sustainability-linked financing

Free carbon management solution

Free carbon accounting software to measure, manage and report carbon emissions

Free education and technical assistance

Bank Negara Malaysia, Pantas and GVC programme partners will provide suppliers with free education and technical assistance on climate change, carbon accounting and carbon management

Benefit from decarbonising

Earn more revenue from anchors due to larger and more frequent orders as a result of being a sustainable supplier

How it works as a supplier
1
Participate in GVC

Receive free training on climate change, carbon accounting and carbon management.

2
Measure carbon emissions

Utilise Pantas simplified carbon accounting software to measure, manage and report carbon emissions.

3
Set emission reduction targets

Work with Pantas, anchors, and banks to set relevant, credible and measureable emission reduction targets for sustainability-linked financing.

4
Apply and obtain financing

Apply for low-cost financing through Bank Negara Malaysia's RM2 billion Low Carbon Transition Facility (LCTF) and bank's sustainability-linked financing.

Through LCTF, SMEs can obtain up to RM10 million in financing, at a maximum financing rate of 5.0% p.a. inclusive of a guarantee fee (if any) with a tenure of up to 10 years.

The use of proceeds from LCTF can be used for goods/services that improve energy efficiency and/or reduce carbon footprint. Examples include: EV (Electric Vehicle), RE (Renewable Energy) solutions, energy-efficient equipment/machinery, etc.

Read more about Bank Negara Malaysia's LCTF

5
Benefit from decarbonising

Reap the rewards from decarbonising. Enjoy better payment terms and more frequent purchases from your anchor.

Additionally, benefit from lower interest rates from the bank's sustainability-linked financing where financing rates are adjusted downwards upon achieving the relevant climate KPIs.

Launch sustainability-linked financing

Provide sustainability-linked financing with relevant, credible and measureable KPIs / Sustainability Performance Targets (SPT)

Measure financed emissions

Collect the necessary data to measure financed emissions (Scope 3: Category 15) in adherence to Partnership for Carbon Accounting Financials (PCAF)

Monitor climate/sustainability KPIs

Ability to perform post lending climate monitoring on sustainable financing products

Get ahead of regulations and manage climate risks

Comply with current and upcoming regulations mandating emissions disclosure and manage climate investment risks

How it works as a bank
1
Participate in GVC

Bank participates in GVC as a banking partner of the programme.

2
Provide financing

Banking partner will provide sustainability-linked financing to assist suppliers in greening their operations.

3
Monitor portfolio through Pantas

As a banking partner of the GVC programme, the bank is able to perform post lending monitoring on clients that receive green related financing products.

For clients that have managed to achieve the climate KPIs tied to their sustainability-linked financing, the bank will reduce their interest rate as a result of achieving their targets (e.g. Reduce carbon emissions by 10%).

Upcoming event
Pantas, AmBank and British Standards Institution (BSI) to host second GVC regional training on 1 June 2023 in Sasana Kijang, Bank Negara Malaysia.

Frequently asked questions

The GVC programme is an initiative by Bank Negara Malaysia together with Pantas Software and other partners, which was announced at the COP-27 conference in Egypt in conjunction with Finance Day on 9 November 2022.

The GVC programme aims to incentivise and assist Malaysian SMEs in implementing impactful, long-term change to green their operations. SMEs will benefit from technical advisories and software tools from services providers, competitive financing from Bank Negara Malaysia's Low Carbon Transition Facility (LCTF) and sustainability-linked financing from AmBank.

Recently there have been an increasing number of regulations which requires companies to report their carbon emissions relating to its products and services. Here are some examples of international regulations being implemented:

Carbon Border Adjustment Mechanism (CBAM)

Federal Supplier Climate Risks and Resilience Rule

Bank Negara Malaysia's Low Carbon Transition Facility is a fund established to support SMEs in adopting sustainable and low carbon practices. LCTF is open for SMEs in all sectors that are committed to transform their business operations towards low carbon operations.

Through LCTF, SMEs can obtain up to RM10 million in financing, at a maximum financing rate of 5.0% p.a. inclusive of a guarantee fee (if any) with a tenure of up to 10 years.

The use of proceeds from LCTF can be used for goods/services that improve energy efficiency and/or reduce carbon footprint. Examples include: EV (Electric Vehicle), RE (Renewable Energy) solutions, energy-efficient equipment/machinery, etc.

Read more about Bank Negara Malaysia's LCTF

We would love for you to participate in the GVC programme!

Fill in this form or reach out to our team at gvc@pantas.com to indicate your interest to participate and join the waitlist.

Interested to participate?

Preferably your company's email
Include country code with the prefix '+' for international numbers (e.g. +852)