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Corporate resilience and climate adaptation lead SC priorities


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Corporate resilience and climate adaptation lead SC priorities
Securities Commission chairman Datuk Mohammad Faiz Azmi.


KUALA LUMPUR: The growing economic cost of climate change is pressuring Malaysia’s financial regulators to reevaluate how capital is mobilised, as climate adaptation needs alone are estimated to reach US$1.1 trillion by 2050.

In his keynote address at the Joint Committee on Climate Change’s Journey to Zero Conference yesterday, Securities Commission (SC) chairman Datuk Mohammad Faiz Azmi said one of its key sustainability mandates is mobilising capital for climate adaptation and resilience.

Held at Sasana Kijang, Bank Negara Malaysia, from Sept 28 to 29, the conference is themed “Building Climate and Nature Resilience for People and Business”.

Mohammad Faiz said Malaysia’s climate adaptation needs are estimated at US$852bil to US$1.1 trillion, roughly the size of the country’s capital market, which stands at just over US$1.1 trillion.

This forms part of the SC’s approach to embedding sustainable practices, while meeting companies’ funding needs.

The broader aim is to strengthen corporate resilience, support economic growth and improve access to funding, while helping address climate adaptation and mitigation needs, Mohammad Faiz explained.

He highlighted initiatives to support companies’ sustainability efforts, including adopting the International Sustainability Standards Board S1 and S2 standards, the National Sustainability Reporting Framework Kembara programme and enhanced disclosures for informed investment decisions.

“If financial statements are the ‘quarterly check-ups’ of a company’s health, sustainability disclosures are the stress tests of its future resilience,” he said.

However, he noted the SC’s pressing issue: adaptation projects often have limited commercial viability and bankability, making it difficult to attract private capital to support public infrastructure. Hence, it is exploring new financing mechanisms and potential structures to meet this need.

 
Article by VICTORIA ARUL
Source: Corporate resilience and climate adaptation lead SC priorities (Tuesday, 29 Sep 2026). The Star. Retrieved from https://www.thestar.com.my/business/business-news/2026/09/29/corporate-resilience-and-climate-adaptation-lead-sc-priorities

 
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