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Family Businesses: A critical force in reversing climate change and halting nature loss

The discussion highlighted the many areas that family businesses are well positioned to constructively engage in, including education, job creation, gender diversity, and sustainable corporate practices

Co-hosted by Dubai Chambers, the inaugural Campden Global Owners & Family Office Congress, taking place between October 9 to 13, brought together over 300 family business principals from over 30 countries to share knowledge, best practices, and discuss opportunities for collaboration in addressing opportunities and challenges facing family businesses and the communities they operate within.

The opening plenary discussion on 10 October, titled ‘The key to long-term, multigenerational family success’, hosted Badr Jafar, CEO of Crescent Enterprises and COP28 special representative for business and philanthropy, Francois von Finck, chairman of Mövenpick Holding AG, Mohammad Lootah, CEO and president, Dubai Chambers, and was moderated by Jamie Cayzer-Colvin, family principal, Caledonia Investments.

During the discussion, Jafar shared his views on some of the major opportunities and challenges facing many family businesses within the Gulf region. Reflecting on the potential impact of family businesses, he stated, "Our region’s family businesses generate over 60 per cent of our GDP, employing over 80 per cent of the workforce. They can and must be at the forefront of addressing all challenges we face in our region, including socio-economic challenges such as youth unemployment and the growing skills deficit."

Highlighting the imperative for strong corporate governance, Jafar, founder of the Pearl Initiative, addressed the urgent need for succession planning and institutionalisation within family businesses, adding: "The majority of our region’s family businesses are owned and managed by the second generation, moving to the third generation within the coming decade or so. Without proper governance frameworks and policies, we face a huge risk of value destruction of this critical economic and social engine. Family businesses must therefore urgently professionalise structures and implement solid succession plans to ensure resilience and sustainability."

The discussion highlighted the many areas that family businesses are well positioned to constructively engage in, including education, job creation, gender diversity, and sustainable corporate practices. According to a report by Dubai Chambers, UAE-based investors have access to $8 trillion of private capital across the Middle East, Africa and South Asia, and these large pools of capital offer major opportunities to align investment plans with social and environmental priorities.

Jafar emphasised the potential for business owners to engage in strategic philanthropy, particularly in collaboration with business and government capital. He stressed the importance of establishing robust philanthropic infrastructure and transparent governance to optimise the impact of the substantial philanthropic investments made by Arab communities annually, which amount to hundreds of billions of dollars. Additionally, he highlighted the importance of leveraging philanthropic efforts through research, education, and promoting collaboration among numerous family foundations and social enterprises expanding their activities throughout the region.

Jafar, who serves as chair of the upcoming COP28 Business & Philanthropy Climate Forum, addressed the pivotal role that the region’s family businesses must play in accelerating climate and nature outcomes, stating "The upcoming COP28 Business & Philanthropy Climate Forum represents a critical turning point in our collective efforts to drive action, to accelerate green technology transfer, de-risk green investments through blended finance, foster entrepreneurial solutions for climate and nature challenges, and support climate-vulnerable countries in building a more resilient and sustainable future."

As a part of the Campden Global Owners & Family Office Congress, the Crescent Group also hosted a workshop, led by Neeraj Agrawal, executive director, Crescent Enterprises, to showcase the journey and experiences of Crescent Group’s two main subsidiaries, Crescent Enterprises and Crescent Petroleum, and the diversification opportunities that the UAE and the wider region offers businesses looking to expand into the region.

The Campden Global Owners and Family Office Congress is a week-long experiential platform consisting of discussions, workshops and family showcases, bringing together over 300 families and their private offices to introduce family business owners to new opportunities, sharing knowledge, and learning from each other.