ESG & Sustainability Strategy

    ARM is committed to the integration of ESG considerations in our business activities and operations. Our sustainability strategy includes the following:

    • Sustainable investing in delivering impactful solutions for Africa, whilst continuously adapting our investment impact considerations
    • Mainstreaming climate finance thinking in all our activities through a dedicated cross-divisional team
    • Environmental and social governance in the context of investment and risk management
    • Driving thought leadership and conducting research
    • Strengthening strategic partnerships to provide continued access to competitive financing solutions.

    ESG Policy

    ARM maintains and applies a robust Environmental Social and Governance (ESG) Policy to cover all our activities and operations, based on the following international standards: IFC’s Performance Standards, the Equator Principles, World Bank Group’s Environmental, Health and Safety Guidelines, and African Development Bank Integrated Safeguards System.

    The excerpt of our policy is as follows:

    • ARM Holding Company and ARM Subsidiaries or JV will ensure compliance of all investments with local, regional and international environmental regulations where applicable.
    • ARM Holding Company and ARM Subsidiaries or JV will require an environmental and social assessment of investments. For the Funds and Mixta subsidiary, these will be in line with the IFC and EDFI risk categorization, to ensure that the investments are environmentally and socially sound and sustainable.
    • ARM Holding Company and ARM Subsidiaries of JV will not invest in projects listed in the IFC and EIB exclusion lists.
    • ARM Holding Company and their ARM-Harith JV, Agribusiness and Mixta Subsidiaries will take special cognisance of (a) General E&S issues, (b) Labour and working conditions, (c) Worker and community Health and Safety, (d) Pollution Prevention, (e) Resource use efficiency, (d) Sustainable supplier practices, (e) Reducing impacts of global warming and (e) Protection of Human Rights by:
    • Screening investments for ESG fatal flaws, impacts and benefits prior to approving any investment, through a process of Due Diligence.
    • Monitoring and Reporting on the sustainability of the investment in a transparent, credible and timeous manner to all relevant stakeholders.
    • ARM Holding Company and their Asset Management Subsidiaries will take special cognisance of (a) General E&S issues, (b) Reducing impacts of global warming, (c) Protection of Human Rights, and (d) promotion of access to affordable capital market products by:
    • Monitoring and Reporting on the sustainability of the investment in a transparent, credible and timeous manner to all relevant stakeholders.
    • ARM Holding Company will engage and have open dialogues with their stakeholders on the environmental and social impacts of their business activities.
    • ARM Holding Company will strive for continual improvement within its management of ESG issues.
    • ARM Holding Company and ARM subsidiaries or JV shall ensure that opportunities for sustainable community economic involvement in the investments have been considered.
    • ARM Holding Company will encourage and reward the adoption of ESG Standards and Performance by ARM subsidiaries or JV.
    • ARM Holding Company will provide transparent and accountable E&S performance information (including reporting to the UNPRI) on investment activities in the asset management, agriculture, infrastructure, real estate and hospitality sectors.