Malaysia offers sector-specific ESG reporting guidance
Malaysia’s Advisory Committee on Sustainability Reporting (ACSR) recently published illustrative sustainability reports for the plantation and construction sectors. These guides, aligned with the IFRS Sustainability Disclosure Standards (IFRS S1 and S2), aim to help local preparers understand how to identify and disclose material risks, impacts, and financial effects across operations and value chains.
Fictional case studies offer industry-specific examples: from climate-related flooding and effluent management in palm oil, to transition risks and worker safety in infrastructure. The guidance is part of Malaysia’s PACE initiative and supports companies in applying the National Sustainability Reporting Framework.
While this is a useful step forward, there’s a conspicuous gap: a timeline or guidance for implementing the digital reporting infrastructure that accompanies the ISSB standards. The ISSB has already released its digital taxonomy, enabling machine-readable ESG disclosures and enhancing global comparability and analysis. Without corresponding digital adoption, much of the value of this data will remain untapped.
As jurisdictions roll out sustainability reporting, embracing digital frameworks is essential. Malaysia has taken a step, but a crucial one still lies ahead.
Read the guidance here.
