Prime Minister Datuk Seri Anwar Ibrahim announced that the National Environmental, Social, and Governance (ESG) Strategic Plan has been approved during the National Sustainable Development Goals (SDG) Council Meeting 2024. The initiative marks a significant step in Malaysia’s commitment to aligning businesses with global sustainability standards while fostering long-term economic resilience.
The plan aims to gradually guide Malaysian businesses—ranging from small and medium enterprises (SMEs) to larger corporations—towards robust ESG compliance and reporting practices. Beyond mere compliance, the strategy seeks to position Malaysian firms at a competitive advantage in the global market through sustainable business operations.
Anwar emphasized the importance of balancing ESG adoption with the financial realities faced by SMEs, noting that compliance costs must not become an undue burden. To address this, the government recommends an initial ‘dry run’ for ESG implementation, led by public-listed companies, multinationals, and government-linked corporations (GLCs). This pilot phase is expected to create a supportive ecosystem for SMEs within their respective value chains.
“To ensure SMEs are adequately prepared, all relevant ministries have been instructed to enhance training programmes tailored to targeted business entities,” Anwar stated in a Facebook post following the council meeting.
Reflecting on Malaysia’s progress towards the United Nations’ Sustainable Development Goals, Anwar revealed encouraging results. The nation is projected to achieve 43% of its SDG targets by 2030—well above the global average projection of 17%.
“The Madani government remains resolute in advancing Malaysia’s SDG indicators, aligning them with the broader objectives set out in the Madani Economy framework. This integrated approach underscores our commitment to refining and amplifying ongoing sustainability initiatives,” Anwar added.
The National ESG Strategic Plan underscores Malaysia’s ambition to become a regional leader in sustainable economic practices, balancing environmental responsibility with inclusive growth and social well-being.