KUALA LUMPUR, March 8 (NNN-Bernama) — Malaysia foresees six to seven per cent of sectors to be impacted in the first year of the European Union Carbon Border Mechanism Adjustment’s enforcement.
International Trade and Industry (MITI) Minister Tengku Zafrul Abdul Aziz reckons future impact will be greater if the needs to fulfill the mechanism are not addressed.
“Hence, Malaysia will continue to engage with agencies within MITI to help our industry to be prepared.
“We are also in the midst of finalising the National Environmental, Social and Governance Framework (i-ESG) for the manufacturing sector especially to assist the small and medium enterprises (SMEs) in preparation for global demand when it comes to ESG,” he said during the Malaysian Investment Development Authority (MIDA) media conference on Malaysia’s investment performance for 2022.
The i-ESG framework is expected to be completed in 2024.
Earlier in his speech, Tengku Zafrul said MITI is crafting policies to incentivise companies and industries to help the country lay the groundwork for a more sustainable and equitable world by investing in green infrastructure and renewable energy.
“This important step must be a whole-of-nation effort, which is both timely and necessary to ensure long-term success,” he said.
Malaysia has also announced tax and non-tax initiatives for businesses that adopt green technologies, funding for research and development in sustainable industries and sustainable collaborations with leading companies in Budget 2023.
— NNN-BERNAMA