The Securities Commission’s (SC) Capital Market Masterplan 2026-2030 targets mobilising RM90 billion-RM100 billion in cumulative financing by 2030 for projects delivering measurable environmental and social impact.
According to NST portal, the initiative forms part of the masterplan’s strategy to support the national sustainability and climate goals.
Malaysia has placed climate action at the centre of its development strategy, with targets to reduce greenhouse gas (GHG) intensity by 45 per cent by 2030 compared with 2005 levels and achieve net-zero emissions by 2050.
The country has reduced GHG intensity by about 37 per cent, leaving less than eight percentage points to meet the 2030 target.
Meanwhile, renewable energy accounted for roughly 26 percent of installed power capacity in 2024, about five percentage points short of the 2030 target under the National Energy Transition Roadmap (NETR).
However, achieving Malaysia’s energy transition ambitions will require substantial funding.
The government estimates that between RM1.2 trillion and RM1.3 trillion in capital will be needed to support the transition to cleaner energy systems.
Beyond mitigation, climate adaptation is also becoming increasingly urgent.
Investments of about RM392 billion are expected to be required for climate resilience measures, including efforts to address floods, droughts, and coastal erosion, which are set to be detailed under the upcoming National Adaptation Plan.
To support these needs, the SC aims to embed sustainability as a core feature of the Malaysian capital market.
“Malaysia is well-positioned to unlock the potential for market-based sustainability finance. Over the next five years, the initial focus will be on facilitating pilot financing for identified projects and using these as learning opportunities to build up the sustainability financing ecosystem,” it said.
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