CMM seeks feedback on Sector Guides for ESG disclosures
“More people are realising that security can be seriously disruptive for business if we take it lightly. Digitalisation will only be successful if the foundation is solid.” Fong Choong Fook
CAPITAL Markets Malaysia (CMM), an affiliate of the Securities Commission, has published a consultation paper and is inviting public feedback on the new Sector Guides to supplement its Simplified Environmental, Social, and Governance (ESG) Disclosure Guide (SEDG).
According to Bernama, the Sector Guides are intended as an extension of CMM’S SEDG launched on Oct 18, 2023 to provide small and medium enterprises (SMES) in global supply chains with a streamlined and standardised set of guidelines around ESG disclosures expected of these companies that are aligned with relevant global and local ESG frameworks.
These include the Global Reporting Initiative, the International Sustainability Standards Board, the Bursa Malaysia Listing Requirements, Bursa’s Sustainability Reporting Guide as well as the Malaysian Code on Corporate Governance, the news agency reported.
CMM said the Sector Guides feature enhanced disclosures for five significant sectors in Malaysia’s economy, namely energy, transport and storage, construction and real estate, agriculture and manufacturing.
The consultation paper specifically seeks feedback on additional recommended environmental and social disclosures specific to the five sectors.
“While the primary focus is on SMES in the supply chain, CMM strongly encourages participation from all relevant stakeholders including mid-tier companies, multinational companies and public listed companies within these industries,” CMM said in a statement.
A three-week public consultation period commences yesterday until May 17, 2024, and interested parties are invited to submit their comments and feedback before the closing date.
Queries about the consultation paper may be submitted to Capital Markets Malaysia at general@capitalmarketsmalaysia.com.
In a separate report, Bernama reported that Starsentry, Malaysia’s homegrown innovative plug-and-play device, aims to provide cybersecurity solutions for local SMES at an affordable price.
The device, set to be launched in June this year, was developed by LGMS Bhd and its subsidiary Applied Security Intelligence, in collaboration with Dell Technologies OEM Solutions and Intel Malaysia, it reported.
Bernama quoted LGMS executive chairman Fong Choong Fook as saying many SMES are unaware that cybersecurity can affect their businesses until they are attacked by cybercriminals.
He said some SMES are at a disadvantage when it comes to cybersecurity due to their tight budgets compared with huge organisations that can invest in cyber defence mechanisms.
“A lot of organisations are also unaware of the solutions most suitable for them because they are unaware of the root of the problem.
“Starsentry helps by addressing the core problem first and provides the solution to prevent future cyber attacks,” he said after a preview of the Starsentry device, here.
On the cybersecurity industry’s outlook, Fong said the sector is trending positively due to the Cyber Security Bill 2024 in
Parliament and the rising awareness about cybersecurity.
“More people are realising that security can be seriously disruptive for business if we take it lightly. Digitalisation will only be successful if the foundation is solid,” he said, adding that the Madani government also advocates digitalisation among SMES.
Malaysian Industrial Development Finance Bhd, an agency under the Investment, Trade and Industry Ministry (Miti), had disbursed Rm58.91bil to 17 SMES in the first quarter of 2024 (1Q24) for automation and modernisation.
Quoting Miti minister Tengku Datuk Seri Zafrul Abdul Aziz, Bernama reports that the total allocation for the soft loan was Rm150mil for 30 companies in the manufacturing and manufacturing-related services sector. Additionally, there were matching grants available for bumiputra aerospace SMES.
“The target is 30 companies with a total allocation of Rm150mil. As of 1Q24, Rm8mil has been disbursed to five SMES,” he said during a press conference over the week.
As for the Industry4wrd Intervention Fund (IIF), he noted that applications from 401 Malaysian SMES were approved, with a total grant value of Rm149.1mil as at March 31, 2024.
The IIF serves as a financial support facility for Malaysian SMES in the manufacturing and related services sectors to adopt Industry 4.0 technologies.