Promoting shared responsibility among corporate executives on environmental, social and governance (ESG) efforts is crucial to effectively manage sustainability initiatives, said Bursa Malaysia Bhd chief executive officer Datuk Muhamad Umar Swift.
He said corporate executives, particularly C-level executives like chief sustainability officers, chief financial officers (CFOs), chief information officers (CIOs) and others, need to have a comprehensive understanding of ESG standards, expectations and guidelines.
“They are responsible for ensuring that the organisation plans and progresses on its ESG commitments,” he said at the #digital4ESG Forum organised by Bursa Malaysia on Wednesday (May 10).
He said CFOs play a vital role in going after opportunities presented by strong ESG practices while effectively managing the associated costs in sustainability programmes.
“Furthermore, they should work with banks to raise funds for the outlined transition through green financing programmes,” he said.
On the same note, Muhamad Umar said CIOs must utilise ESG solutions that leverage digital technology to enable data-driven decision-making and provide an efficient way to present, aggregate and communicate ESG data to various stakeholders.
“Only by developing a shared understanding will corporate executives be able to work towards common goals and improve their company’s overall ESG performance to achieve long-term success,” he said.
He added that Bursa Malaysia intends to play a catalytic role as an influencer and facilitator of corporate Malaysia in the transition to green economy.
“Bursa Malaysia will deploy a Centralised Sustainability Intelligence Platform (CSI Platform), an innovative initiative that bridges ESG and technology to address the needs in the ecosystem.
“We envision that the CSI Platform will serve as the national repository for listed companies’ sustainability disclosures, encourage effective management of their supply chain’s carbon emissions, and incentivise decarbonisation through green financing solutions offered by banks,” said Muhamad Umar.
He also hopes that more Malaysian companies will be part of green global supply chains, which will surely expand through the platform.
Meanwhile, UMW group chief mobility and innovation officer and president of the aerospace division Datuk Abdul Rashid Musa said Malaysia is in a uniquely competitive position for sustainable practices as the ecosystem is in place.
“The ecosystem is becoming very connected and provides a nominal platform on which Malaysian corporates could move forward,” he said.
