Malaysian institutional investors are making significant strides in climate transition, with 55% of the country’s top investors committed to increasing investments in climate solutions, according to a new analysis. This figure surpasses the Asian average of 48%, highlighting Malaysia’s leadership in the region’s climate investment landscape.
The analysis, which reviewed 11 influential Malaysian institutional investors managing a collective RM2.5t (US$624b) in assets, reveals a 15 percentage point improvement from the previous year. Additionally, 27% of these investors are now publicly disclosing their support for climate policy advocacy, a notable increase from last year when none did so.
Rebecca Mikula-Wright, CEO of the Asia Investor Group on Climate Change (AIGCC), stated, “We are pleased to see Malaysia’s investors building a strong foundation in their climate transition practice.” She emphasised the importance of collaboration between investors, corporates, and policymakers to sustain this momentum.
Despite these advancements, Malaysian investors still lag behind the Asian average in areas such as board-level oversight of climate change and climate integration in policies. For instance, only 55% of Malaysian investors have integrated climate considerations into their corporate governance, compared to 70% across Asia.
Dato’ Rizal Rickman Ramli, President & Group Chief Executive of Permodalan Nasional Berhad, noted their commitment to investing RM15b into green assets by 2030, reflecting a broader trend among Malaysian investors to align with national energy goals.
The findings are part of AIGCC’s annual report, which assesses 240 significant investors across Asia, using 28 climate metrics to evaluate their performance in managing climate risks and opportunities.
