Nature Trust Malta executive president Vincent Attard interviews Douglas Flint, chairman of the HSBC Group, during the latter’s recent visit in Malta to launch the HSBC water programme Catch the Drop.
HSBC invests millions each year towards environmental projects. Why is its strategy towards environmental sustainability so important?
Working to achieve sustainability is of fundamental importance to our children’s future. In this respect, taking people out of poverty is not just about aid, but also about empowering people through education, which is what we aim to do by improving the environment people live in. This can be done, for example, through improved irrigation, water access, reducing pollution and so on.
We believe strongly in financial institutions’ role to empower communities to help themselves grow economically. Part of this involves creating the environment where water wastage is reduced and where rivers and other water sources are not polluted.
Apart from being a very worthy cause, we also believe that sustainability is in our broad self-interest. The more economic growth is created in the world, the more societies are stable, with lower crime rates, less default, more active customers, and increased trade. So, in a way, it is about putting something into society that will be the bedrock of future economic growth.
Sustainability is in our broad self-interest. The more economic growth is created, the more societies are stable, with lower crime rates, less default, more active customers, and increased trade
We emphasise projects that involve our own staff to help educate our people about the values we embrace. Rather than just cutting a cheque, we ensure that part of our contribution comes through giving our employees the opportunity to work with experts and see the outcomes delivered.
It is very encouraging to see an impressive proportion of HSBC staff in Malta volunteer for the Catch the Drop campaign. This is part of the Government’s education drive which emphasises teaching the next generation about harvesting scarce resources and treating nature respectfully.
As Malta expands its tourism industry and other sectors, this growth will put more pressure on its resources, particularly water. So the harvesting of available water and the economics of producing water become really important.
Why did HSBC choose water as its main environmental commitment for the coming years?
Water underpins so many of the challenges facing the world and the rate of economic development. It is key to economic, social, and environmental development. As populations grow, the management of water becomes increasingly important.
If emerging countries, including many in Asia, are going to move from a diet based on rice and vegetables to higher protein food, water resources will be heavily impacted.
An analysis of the sustainability of these developments presents real challenges. There simply is not enough water for the world to have Western-style diets, and this means we have to harvest more intelligently the water that we have.
Fortunately, people can genuinely identify with water as a scarce resource in a way that allows us to think and act constructively. An HSBC Group economic study recently found that every dollar invested in improving water access was paid back five fold in terms of economic value created from improved education, irrigation and so on.
The HSBC water programme will bring a lot of other people on board. The very fact that we can talk about emerging markets and water issues opens to huge opportunities. For instance, Malta is the first country outside the UK to develop the employees’ speaker network for Water Aid’s projects in less developed countries such as Ghana, in conjunction with HSBC.
What struck you most about Malta’s Catch the Drop campaign?
The fact that Catch the Drop is rooted in Malta’s education system was a definite strong point. By reaching out to every school child in Malta, Catch the Drop is working to increase awareness. This is far more important in reality than funding a more efficient desalination plant.
Achieving sustainability is mostly about getting people to understand the responsibility they have for harvesting resources.
The bottom-up educational approach being taken is very effective at promoting long-term positive change.
We are hearing stories of younger generations ‘scolding’ their parents for poor water management, and this is exactly what we aim to achieve.
The enthusiasm of our employees in Malta is also very promising, with over 300 Malta members of staff volunteering. This is very impressive and I expect this number will grow further.
The HSBC Malta Foundation was recently described by one of Malta’s newspapers as “probably Malta’s leading philanthropic organisation”. How important is it to be active in the community?
The most important thing one can do when involved in a service industry is to be an active part of the community. If you are on the same side as the community, you generate trust. And banking is all about trust.
Once again, it is not about just handing out money. It is about getting involved in projects that the community values and identifies with. The HSBC Malta Foundation, for example, is doing work at the National Archives, and is involved with the restoration of Maltese historical buildings and sites – these are great local initiatives that the community appreciates. They also enhance shareholder value over the long term.