Bursa Malaysia Berhad (“Bursa Malaysia”) is reinforcing its support of the Taskforce on Climate-Related Financial Disclosures (“TCFD”) in the updated version of its Sustainability Reporting Guide and Toolkits (“2nd Edition Guide and Toolkits”) released today, by incorporating TCFD Recommendations to encourage listed issuers in assessing and disclosing material climate-related information in their annual reporting. The 1st Edition Guide and Toolkits were issued in October 2015 to assist listed issuers in the preparation of a sustainability statement and embed sustainability practices within their businesses.
Established by the Financial Stability Board, the TFCD is the first international industry-led initiative, with the objective of developing voluntary, consistent climate-related financial risk disclosures for use by companies in providing information to lenders, insurers, investors and other stakeholders. Bursa Malaysia, in its role as the stock exchange and a sustainability advocate, is committed to promoting the TCFD Recommendations as a means to help listed issuers future-proof their businesses, enhance market quality, drive capital towards sustainable investments, and facilitate an effective transition to a low-carbon economy. Bursa Malaysia is also Malaysia’s first public-listed company to officially support the TCFD Recommendations.
Datuk Seri Tajuddin Atan, Chief Executive Officer of Bursa Malaysia said, “Climate change and environmental degradation can negatively impact the way markets perform and operate, leading to economic and financial instability. Hence, transitioning our market towards a low-carbon economy not only safeguards the quality and resiliency of the marketplace but also ensures the sustainability of our stakeholders and our natural environment into the future. Our support of the TCFD Recommendations sets us on the right path in bridging the information gaps between our listed issuers and providers of financial capital in relation to climate change, creating a well-functioning and efficient capital market.”
“As we enter the annual reporting season, the timely release of the 2nd Edition Sustainability Reporting Guide and Toolkits today which incorporate the latest key sustainability developments, best practices as well as recommendations will benefit listed issuers and we strongly encourage them to use the materials as reference when preparing the sustainability statement in their annual report,” Datuk Seri Tajuddin added.
Apart from the inclusion of TCFD Recommendations, the 2nd Edition Guide and Toolkits also incorporate refined guidance on materiality assessment and updated case studies and example disclosures to provide the latest best practices for listed issuers to consider and emulate. In addition, the United Nations Sustainable Development Goals are included to assist listed issuers in making impactful contributions to the goals through strategic implementation and disclosure.
The 2nd Edition Sustainability Reporting Guide and Toolkits are available for download from BURSASUSTAIN1 at:https://bursasustain.bursamalaysia.com/droplet-details/resources/sustainability-reporting-guide
