KUALA LUMPUR: Climate finance is crucial for meeting ambitious targets and fostering positive changes, thereby ensuring a more sustainable and equitable future.
Deputy Prime Minister Datuk Seri Fadillah Yusof, who is also the Minister of Energy Transition and Water Transformation said that Malaysia welcomes international partnerships and investments supporting the country’s energy transition and broader climate objectives.
“We are open to cooperating with various parties, including international financial institutions and private investors to mobilise the necessary resources for sustainable development projects,” he said.
According to Fadillah, mobilising capital for a just transition offers a unique opportunity for long-term economic growth, enhanced social equity and increased investor confidence.
“The scientific consensus is clear. We must act decisively and swiftly to mitigate these impacts. Central to this effort is the transition to sustainable energy systems,” said Fadillah.
He also reiterated the government’s commitment to steering Malaysia towards a more sustainable future, including raising the renewable energy (RE) capacity target to 70% by 2050, up from the previous 40% target by 2035.
Additionally, the government plans to introduce a ‘Corporate RE Supply Scheme’ in September, allowing corporate entities to directly source green electricity from third-party RE generators.
Furthermore, the government is developing its second National Energy Efficiency Action Plan for 2026-2035 to enhance efforts in reducing national energy consumption.
“By 2026, we aim for at least 50% of new bank financing to support climate or energy transition activities,” he said, referring to the integration of climate resilience into financial strategies outlined in the Malaysia Financial Sector Blueprint.
— BERNAMA
