Last updated on December 9th, 2024 at 10:41 am
Freedom Holding Corp. strengthens ESG commitment with new agreements on turan tiger restoration and carbon certification development
Embracing environmental, social and governance (ESG) principles is not optional for the long-term success of any business. Freedom Holding Corp., a Nasdaq-listed US-based financial services company, integrates ESG deeply into its strategy to enhance its reputation with investors, customers and regulators, while positively impacting the communities it serves.
“ESG is about building trust, accessing new funding opportunities and enhancing a company’s reputation in the marketplace. These principles not only benefit companies, but also lay the foundation for a sustainable and secure future for society,” says Timur Turlov, CEO of Freedom Holding Corp.
Timur Turlov, who is also Chairman of the UN Global Compact Advisory Committee in Central Asia, attended COP29 in Baku, Azerbaijan, and signed two new ESG agreements on behalf of the Freedom Holding Corp.
Freedom Holding will work with the Ministry of Ecology of Kazakhstan to restore the population of the unique Turan tiger. The project also aims to implement advanced technologies and best practices for managing the country’s natural resources. This project is not only important for ecological conservation, but also symbolises a harmonious relationship between business and the environment. The second agreement is with Open Forest AG to develop Kazakhstan’s carbon certifications, enabling sustainable resource management and promoting green economy practices.
“If you are building a business for the long term – for the next 10 to 20 years – you want to do everything to ensure that your country has a high credit rating, because your own rating will never be higher,” says Timur Turlov.
ESG standards act as a marker of a company’s resilience, credibility, and ability to manage risk. Like a credit rating, ESG ratings reflect a company’s operational stability, reputation and commitment to sustainable practices, according to Timur Turlov.
He also views ESG as a significant factor but understands that ESG ratings are critical for investors when making decisions.
“This is as important as a credit rating; it is a characteristic of the company’s activities, its ability to deal with risks and challenges in the long term, its ability to be sustainable, and to be in agreement with all stakeholders,” Turlov says.
Since its listing on Nasdaq in October 2019, Freedom Holding Corp. has expanded internationally while maintaining its commitment to innovation and sustainable business practices, which has been viewed favourably by the investment community. This has been reflected in its rapid growth in market capitalisation, which has reached $7.18 billion, an increase of 979% since the day of listing.
Meanwhile, S&P Global Ratings has raised the outlook on Freedom Holding Corp.’s subsidiaries to positive, while the outlook on the holding company itself to stable as Kazakhstan’s economy continues to grow and banking supervision improves.
Freedom Holding Corp. is also known for its support of charitable initiatives in the areas of education, youth sports including football and chess, disaster relief, and its contributions to broader development goals such as supporting the UN’s efforts to combat climate change by addressing the environmental disaster of the Aral Sea.
