KUALA LUMPUR, Sept 24 (Bernama) -- The National Sustainability Reporting Framework (NSRF) will require companies listed on Bursa Malaysia's Main and ACE Markets, along with large non-listed firms generating annual revenue of RM2 billion or more, to comply with new sustainability reporting standards.
Securities Commissions of Malaysia (SC) chairman, Datuk Mohammad Faiz Azmi said about 130 companies, or large listed issuers on Bursa Malaysia’s Main Market will have to comply with International Financial Reporting Standards (IFRS) S1 and S2 beginning 2025, with a focus on climate-disclosures.
He said the companies are the ones with significant impact to the capital markets and represent over 80 per cent of market capitalisation on Bursa Malaysia, adding that the first report is due in 2026.
"The remaining listed issuers on the Main Market, Group 2, will adopt the standards starting 2026, followed by Group 3, comprising listed issuers on the ACE Market as well as large non-listed companies, in 2027.
"You may be interested to know that we are using the transition reliefs provided by the International Sustainability Standards Board (ISSB) in addition to mandating Scope 3 disclosures and audit verified reports, starting in 2027," he said during the launch of NSRF here today.
Mohammad Faiz said the SC is also looking at the small and medium enterprise sector to provide the listed companies with data for their Scope 3 disclosures.
To this end, he said the SC has issued the “Simplified Environmental, Social and Corporate Governance (ESG) Disclosure Guide” developed by Capital Markets Malaysia to assist them.
He acknowledged the concerns that not all international markets have agreed on the need to do more in terms of sustainability reporting.
"However, as a trading country and one that has an important role in the global supply chain, it is important we adopt these requirements in an open way to reap the benefits of being an adopter.
"Adopting IFRS S1 and S2 will help standardise the information. Rather than resist it, we should embrace it and use it strategically to make our markets more attractive," he added.
-- BERNAMA
BERNAMA provides up-to-date authentic and comprehensive news and information which are disseminated via BERNAMA Wires; www.bernama.com; BERNAMA TV on Astro 502, unifi TV 631 and MYTV 121 channels and BERNAMA Radio on FM93.9 (Klang Valley), FM107.5 (Johor Bahru), FM107.9 (Kota Kinabalu) and FM100.9 (Kuching) frequencies.
Follow us on social media :
Facebook : @bernamaofficial, @bernamatv, @bernamaradio
Twitter : @bernama.com, @BernamaTV, @bernamaradio
Instagram : @bernamaofficial, @bernamatvofficial, @bernamaradioofficial
TikTok : @bernamaofficial
