KUALA LUMPUR: Over the first two days of the National Climate Governance Summit 2025 (NCGS2025), global leaders, policymakers, and industry experts gathered at Sasana Kijang to chart a transformative path for sustainable finance and climate governance in Malaysia and across the ASEAN region.
Organised by Climate Governance Malaysia (CGM), the summit spotlighted innovative financial instruments, forward-looking regulatory frameworks, and inclusive governance practices as critical enablers of a low-carbon economy.
Transition Finance: A Cornerstone for Climate Ambition
The opening sessions of NCGS2025 set a decisive tone, positioning transition finance as the cornerstone of Malaysia’s and ASEAN’s sustainable economic transformation.
Keynote speakers and panellists emphasised the urgency of mobilising innovative financial mechanisms that enable both public and private sectors to accelerate the shift toward a low-carbon future. Transition finance was framed not merely as a financial tool, but as a structural driver of climate ambition and long-term economic resilience.
Datuk Nor Azimah Abdul Aziz, Chief Executive Officer of the Companies Commission of Malaysia (SSM), highlighted Malaysia’s ASEAN chairmanship under the theme of “inclusive sustainability”, saying it reflects the nation’s commitment to advancing regional climate action.
“While the government continues to spearhead strategic policies, this responsibility cannot rest solely on policymakers. Cross-sector collaboration is crucial to secure a resilient and sustainable future for Malaysia and ASEAN,” she said.
Redefining Climate Governance
A recurring theme throughout the summit was the urgent need to evolve climate governance beyond traditional corporate boundaries. Delegates called for robust accountability frameworks and stronger board-level engagement to ensure climate action is embedded in core governance and decision-making.
Dato’ Mohammad Faiz Azmi, Executive Chairman of the Securities Commission Malaysia, addressed the challenges of financing essential but less commercially attractive projects such as seawalls and water systems.
“While transition finance often focuses on projects with strong returns, we must innovate with blended finance tools to bridge the gap—leveraging public, private, and community capital,” he said.
“A just and orderly transition demands collaboration. Only by making transition finance the foundation of our economy can we secure a sustainable and resilient future.”
Sustainability as Strategic Necessity
The summit also underscored that sustainability is no longer a peripheral initiative, but a central business imperative. Companies were urged to embed climate strategies within their business models—not as a compliance obligation, but as a competitive advantage in an increasingly net-zero-aligned global economy.
Dato’ Henry Barlow, Chair of the Board of Directors at Climate Governance Malaysia, echoed this sentiment in his Day 2 remarks.
“Sustainability must be woven into the core of business strategy to ensure long-term resilience. Investors are now demanding transparent decarbonisation roadmaps. Companies that fail to adapt risk irrelevance,” he said.
“The question is no longer whether to transition, but how to do so in a way that is financially viable and strategically sound.”
From Strategy to Implementation
As NCGS2025 moves into its next phase—featuring specialised workshops and technical masterclasses—the focus shifts from strategy to implementation. These sessions aim to equip participants with practical tools and actionable frameworks to turn climate pledges into measurable progress.
By bridging high-level dialogue with real-world solutions, the summit reinforces its role as a key platform for regional collaboration and climate resilience—empowering stakeholders across all sectors to deliver on the promise of sustainable finance and equitable governance.
