March 8 – AirAsia X (AAX) has officially joined the FTSE4Good Bursa Malaysia (F4GBM) Index, marking a significant achievement in its Environmental, Social, and Governance (ESG) journey. This inclusion reflects AAX’s commitment to sustainable aviation practices, corporate transparency, and responsible governance.
With its FTSE ESG rating improving from 2.1 in 2023 to 3.5, AirAsia X continues to enhance its sustainability efforts, reinforcing its position as a leader in responsible business practices within the aviation sector.
Key ESG Achievements by AirAsia X
1. Environmental Sustainability
AirAsia X has implemented measures to reduce its carbon footprint and promote energy efficiency:
- 32% reduction in carbon intensity per seat kilometer in 2023.
- 5,395 tonnes of CO₂ emissions avoided through fuel efficiency initiatives.
- Ongoing efforts to modernize its fleet and adopt sustainable aviation practices.
2. Strengthening Corporate Governance
To ensure long-term business sustainability and compliance, AirAsia X has introduced:
- A Sustainability Steering Committee to oversee ESG initiatives.
- Integration of ESG considerations into Enterprise Risk Management (ERM).
- Enhanced transparency in sustainability reporting, aligning with global ESG frameworks.
3. Recognition by the FTSE4Good Bursa Malaysia Index
The FTSE4Good Bursa Malaysia Index, developed by Bursa Malaysia and FTSE Russell, recognizes companies with strong ESG performance. Criteria for inclusion include:
- Minimum ESG rating of 2.9 for emerging markets and 3.3 for developed markets.
- Compliance with financial and sustainability disclosure requirements.
AirAsia X’s successful listing in the F4GBM Index strengthens its reputation as a sustainable airline, attracting ESG-conscious investors and stakeholders.
Future ESG Commitments
With its inclusion in the FTSE4Good Bursa Malaysia Index, AirAsia X is set to:
- Further improve its ESG disclosures and sustainability reporting.
- Invest in fuel-efficient technologies to minimize emissions.
- Strengthen partnerships with ESG-focused investors to drive long-term growth.
Conclusion
AirAsia X’s entry into the FTSE4Good Bursa Malaysia Index reflects its dedication to sustainability, corporate governance, and responsible business practices. By continuously enhancing its ESG strategies, AAX is paving the way for a more sustainable future in aviation.
For more information, visit: newsroom.airasia.com
