In collaboration with Standard Chartered Bank, Majid Al Futtaim Retail, the Carrefour operator in the Middle East, has launched the region’s first Sustainable Supply Chain Finance programme.
With this scheme, Majid Al Futtaim Retail strives to incentivise its supplier partners to upgrade their sustainability strategies and metrics and highlight vital environmental, social and governance risks inherent to the supply chain.
Specifically, it will encourage the use of energy-efficient equipment, fuel-efficient vehicles and the reduction in landfill waste.
CEO of Majid Al Futtaim Retail, Hani Weiss, said: “Today’s announcement is a great moment for Majid Al Futtaim, as it combines two core aspects of our extended responsibilities to the communities we operate in together supporting our suppliers and driving our sustainability agenda.
“We regard our suppliers as partners, working together to achieve the triple win, for them, us and of course, our customers. Through this innovative programme, we are not only supporting our supplier partners, moreover, we are also introducing and incentivising them to adopt sustainable practices within their operations.”
Ahead of the official programme launch, Majid Al Futtaim and Standard Chartered Bank will collaborate with various active suppliers of Carrefour in the UAE to launch a pilot programme.
This first-of-its-kind programme in the GCC will also complement Al Futtaim’s vision of boosting local economies, producers and suppliers across the markets.
“We are pleased to launch this bespoke programme with one of our leading clients in the UAE,” said CEO of Standard Chartered UAE, Rola Abu Manneh.
“This sustainable solution goes hand in hand with our sustainability agenda and sets a key milestone for the role of the private sector in the UAE’s Net Zero 2050 strategic initiative.”
The Sustainable Supply Chain Financing programme follows previous successful partnerships between Majid Al Futtaim and Standard Chartered, such as its Supplier Finance Programme, operating launched in the UAE three years ago to empower local suppliers with financing, Majid Al Futtaim’s first sustainability-linked loan, as well as several green bond and Sukuk.
Last month, Majid Al Futtaim Retail signed a memorandum of understanding with The Environment Agency of Abu Dhabi and UAE Ministry of Climate Change and Environment.
