Malaysia to establish new sustainability professionals association by year-end 2026

KUALA LUMPUR, 1 OCTOBER 2026 —

Malaysia to Establish Dedicated Sustainability Professionals Body by Year-End to Meet Rising ESG Demands

The initiative, announced at the Joint Committee on Climate Change’s (JC3) Journey to Zero Conference 2026 in Kuala Lumpur, aims to elevate professional standards, bridge industry gaps, and provide a unified voice for practitioners as businesses scramble to align with evolving ESG (Environmental, Social, and Governance) requirements.

The move reflects Malaysia’s accelerating push to integrate sustainability into corporate strategy, with the ASP positioned as a critical enabler for companies navigating complex reporting obligations, stakeholder pressures, and emerging risks.

According to Raja Amir Shah Raja Azwa, chairperson of JC3 and Chief Sustainability Officer of HSBC Bank Malaysia, the association will address a pressing need: "As expectations under the NSRF evolve, corporates will need sustainability practitioners who can help ensure their organisations are prepared to meet reporting expectations, manage risk, and translate these requirements into practical business decisions and credible strategies."

A Structured Response to Growing Complexity The ASP’s creation stems from a sustainability officers’ dialogue convened by the Securities Commission (SC) Malaysia in April 2025, where over 50 professionals from diverse sectors identified critical gaps in talent development, reporting consistency, and collaborative platforms. The dialogue highlighted the urgency of professionalizing the field, particularly as Malaysia’s capital markets—under the Capital Market Masterplan 2026–2030—prioritize sustainability as a core pillar.

Funded in part by the Capital Markets Development Fund, the ASP will operate under the SC’s incubation, ensuring alignment with Malaysia’s broader financial sector strategy. Its mandate extends beyond certification: the body will standardize training programs, validate high-quality sustainability education, and serve as a policy advisory hub for government and industry.

Raja Amir emphasized that the ASP will "professionalise sustainability practitioners, raise the credibility of the profession, and give organisations a trusted reference point when building their capabilities and talent pipelines."

Broadening Scope Beyond Traditional Roles Unlike existing sustainability networks, the ASP will not restrict membership to professionals with dedicated sustainability titles. Instead, it will encompass roles in risk management, finance, procurement, operations, and facilities management, reflecting how ESG considerations are increasingly embedded across corporate functions. Members will gain access to certification pathways, cross-industry knowledge-sharing, and thought leadership opportunities, while the association will advocate for consistent professional benchmarks as regulatory demands intensify.

The ASP’s executive committee will be led by a cross-sector coalition of sustainability leaders: - Leo Pui Yong (Deputy Chair), Chief Sustainability Officer of Tenaga Nasional Berhad (TNB) - Angus Salim Amran (Treasurer), Chief Sustainability Officer of RHB Bank - Yasmin Rasyid (Secretary), General Manager of Sustainability at Sime Darby Property Berhad

This governance structure underscores the ASP’s ambition to bridge public and private sectors, ensuring its recommendations resonate with Malaysia’s net-zero and nature-positive goals.

Conference Highlights: Financing the Transition and Recognizing Leadership The ASP’s launch coincides with the conclusion of the JC3 Journey to Zero Conference 2026, a two-day gathering at Bank Negara Malaysia’s Sasana Kijang that convened policymakers, financiers, and businesses to explore capital mobilization for climate resilience.

Key outcomes included: - The JC3 University Collaboration Programme, a partnership with six Malaysian universities—including Sunway University, Universiti Malaya, and Universiti Tenaga Nasional—to advance applied sustainability research, talent development, and policy solutions. - Awards recognizing Climate Finance Innovation Lab Pitch-a-Thon winners and JC3 Leaders in Action, honoring individuals and entities driving Malaysia’s sustainability agenda.

These initiatives reinforce the government’s multi-stakeholder approach to sustainability, where professional bodies like the ASP will play a pivotal role in upskilling workers, ensuring compliance, and fostering innovation.

Regional Implications: A Model for Southeast Asia’s ESG Evolution Malaysia’s ASP initiative arrives as ASEAN nations grapple with fragmented ESG frameworks and talent shortages. While Singapore has its Sustainability Academy and Indonesia’s Capital Market Supervisory Agency (OJK) pushes corporate sustainability disclosures, Malaysia’s structured, capital-market-backed approach could serve as a regional blueprint. The ASP’s focus on standardization, cross-sector collaboration, and policy engagement aligns with broader trends in Asia-Pacific, where investors increasingly demand credible, comparable sustainability data.

For Malaysian businesses, the ASP’s establishment signals three critical shifts: 1. Regulatory Alignment: With the NSRF mandating sustainability reporting from 2027, companies will need skilled practitioners to navigate disclosures, risk assessments, and stakeholder expectations. 2. Talent War: The ASP’s certification and development programs may help Malaysia retain sustainability experts amid competition from global hubs like Singapore and Hong Kong. 3.

Investor Confidence: A unified professional body could enhance Malaysia’s appeal to ESG-focused investors, particularly as the Capital Market Masterplan targets RM1 trillion in sustainable finance by 2030.

Next Steps: Membership, Standards, and Policy Influence The ASP’s roadmap includes: - Finalizing governance structures and membership criteria by Q4 2026. - Launching certification programs in collaboration with accredited training providers. - Engaging with global sustainability bodies (e.g., Global Reporting Initiative, IFAC) to ensure international benchmark alignment. - Hosting industry forums to refine competency frameworks for sustainability roles.

Raja Amir noted that the association’s first priority will be "building a community of practice"—one that transcends silos and ensures Malaysia’s sustainability workforce is "future-ready." With the NSRF’s phased implementation and Bank Negara’s climate stress-testing frameworks gaining traction, the ASP’s role in shaping competent, ethical practitioners will be non-negotiable.

As Malaysia positions itself as a sustainable finance hub, the ASP’s success will hinge on its ability to balance rigor with pragmatism—a challenge that will define the profession’s trajectory in the region. The launch by year-end is not just a milestone for Malaysian ESG; it is a testament to the country’s resolve to turn sustainability ambition into action.

Related: HSBC Bank Malaysia · Bank Negara Malaysia · Raja Amir Shah Raja Azwa · Kuala Lumpur