Malaysia’s climate disclosure priorities signal an increasing responsibility for the financial sector on climate risk

Malaysia’s joint committee on climate change focuses on improving climate risk management and stress testing capacityThe use of a principles-based taxonomy is like to become more common to develop regionally a relevant climate risk responseGlobal efforts to define a ‘common ground’ taxonomy will be the basis for an explosion of taxonomies for which financial institutions will need to be prepared

Malaysia’s Joint Committee on Climate Change (JC3) has set out its priorities for the year, which show significant strengthening of ambition to address some of the country’s climate-related risks. One key development is the rollout, initially on a pilot basis, of its Climate Change and Principles-based Taxonomy. This has advanced to the point at which Bank...