Full Breakdown
Maala Drives a New Era of Corporate Responsibility in Israel
By Drooid · · How we work
Maala’s Expanding Influence on Israeli Business
Maala, a nonprofit founded in 1998 and modeled on the U.S. Business for Social Responsibility movement, now guides more than 130 of Israel’s largest firms—including banks, defense contractors, technology companies, and consumer brands—under its corporate-social-responsibility (CSR) and environmental-social-governance (ESG) frameworks. By setting standards for emissions tracking, energy use, diversity, ethical procurement, and community investment, Maala has become the de facto architect of responsible-business norms in a market where formal regulation often trails innovation.
From Philanthropy to Integrated Responsibility
In its early years, Maala’s founder and longtime CEO Momo Mahadav described corporate responsibility primarily as charitable giving. Over two decades, Mahadav says the focus has shifted to how companies operate day-to-day, treat employees, and manage environmental and social impacts. He links this shift to the heightened urgency following the October 7 incident, which prompted firms to mobilize resources for community aid, food distribution, housing, and employee mental-health support. Mahadav argues that this response signaled a deeper cultural change, embedding responsibility into the “DNA” of Israeli business.
Scope and Measurable Impact
- 130+ major companies now operate under Maala’s CSR/ESG frameworks, representing a sizable share of Israel’s GDP and workforce.
- The Maala ESG Index, published annually on the Tel Aviv Stock Exchange, evaluates firms on more than 200 indicators. Participation is voluntary, yet the index has become a competitive benchmark.
- In 2025, 160 companies participated, collectively contributing NIS 960 million to social and community initiatives.
- Maala conducts over 150 workshops, trainings, and forums each year, building a professional infrastructure for ESG measurement and reporting.
Official Perspective and Future Outlook
He warns that polarization, now more hostile than merely a difference of opinion, poses a societal challenge that companies cannot ignore because it affects employees, workplaces, and communities.
Verbatim Quotes
- “The real essence of corporate responsibility was what we saw at the beginning,” — Momo Mahadav, CEO of Maala
- “Businesses are a safe haven for Israeli society,” — Momo Mahadav, CEO of Maala