Strategies for MENA SMEs to Join the Race-to-Zero

While large corporations often dominate the conversation around environmental responsibility, it's important to remember that SMEs account for up to 90% of all businesses around the world. Their collective impact is substantial, making their participation in decarbonization efforts essential.

SMEs in the MENA region are diverse, dynamic, and drive innovation. They contribute enormously to employment and GDP, with some countries seeing SMEs account for as much as 70% of their GDP, Yet, these businesses face unique challenges in the transition to a low-carbon economy, from access to finance to the adoption of green technologies.

Why Decarbonization Matters

1. Climate Imperative: The MENA region faces unique climate challenges, including rising temperatures, water scarcity, and extreme weather events. Decarbonization is essential to mitigate these impacts and protect our environment.

1. Reaching Net Zero: With countries across the region, including the UAE, setting clear targets to achieve net zero emissions by 2050, this goal will require the drive of SMEs as well as clear commitments and targets.
2. Economic Opportunities: Transitioning to a low-carbon economy presents significant economic opportunities. SMEs can tap into new markets, attract environmentally conscious customers, and enhance their competitiveness.

Strategies for SMEs to Embrace Decarbonization

1. Measuring Emissions: The very first step for SMEs is to measure their greenhouse gas emissions for Scope 1, 2, and 3. This allows them to set climate reduction targets and develop action plans.
2. Collaboration: Cross-border public-private partnerships can accelerate the adoption of sustainable practices. Many working groups within industries, for instance, have been initiated to tackle structural issues related to decarbonization, which require collaboration and partnerships.
3. Awareness and Education: All employees across functions should embark in companies decarbonization journey, and understand the importance of taking action. From raising general awareness about climate change, highlighting the "why," to conducting targeted workshops on the environmental impact of your supply chain, these efforts will help mobilize all stakeholders.

The SME Climate Hub’s Role in Sustainable Transformation 

The SME Climate Hub is a key initiative under the UN Race to Zero campaign, equipping MENA SMEs with tools to halve emissions by 2030 and reach net zero by 2050. In collaboration with COP28 UAE, it aims to establish a lasting platform for SME sustainability efforts. This hub is not only a resource but a movement, encouraging SMEs to lead in climate action and drive the region towards a sustainable future.

The Road Ahead: Equipping Businesses for Success

The journey to net zero for MENA SMEs is not without its hurdles, but with the right strategies and tools, these businesses can lead the charge in the region’s decarbonization efforts. By focusing on measurement, collaboration, and education, SMEs can not only reduce their carbon footprint but also unlock new opportunities for growth and innovation.

Join Our Upcoming Webinar

Register for our MENA Impact | B Corp™ webinar, "Decarbonization Strategies & Tools for MENA Businesses to Achieve Net Zero," where the industry expert Mustafa Serdar Bosca from CarbonSifr will discuss practical strategies and tools to propel your business in climate action.

Date: Tuesday, May 28th, 2024

Time: 5 PM UAE Time (GMT+4)

Registration: Link Here.

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