ASEAN Embraces Global Sustainability Standards
The International Sustainability Standards Board (ISSB) standards — IFRS S1 (General Requirements) and IFRS S2 (Climate-related Disclosures) — are rapidly becoming the baseline for sustainability reporting across Southeast Asia. Multiple ASEAN jurisdictions have announced adoption timelines that will fundamentally change the disclosure landscape.
Singapore: Leading the Charge
The Singapore Exchange (SGX) has confirmed mandatory climate reporting aligned with ISSB standards for listed companies, with a phased approach starting with large-cap companies. Singapore's Accounting and Corporate Regulatory Authority (ACRA) is working on extending requirements to large non-listed companies, positioning the city-state as a regional sustainability reporting hub.
Malaysia: Bursa Malaysia's Roadmap
Bursa Malaysia has issued its sustainability reporting framework aligned with ISSB principles. The exchange is requiring enhanced climate disclosures from Main Market listed issuers, with the Enhanced Sustainability Reporting Framework mandating ISSB-aligned disclosures progressively. Companies should begin building their climate risk assessment capabilities now.
Indonesia: OJK's Progressive Approach
Indonesia's Financial Services Authority (OJK) continues to strengthen its sustainable finance framework. While adoption is at an earlier stage compared to Singapore and Malaysia, OJK has signaled alignment with international standards and is developing a taxonomy that incorporates ISSB principles.
What This Means for Companies
Organizations operating across ASEAN should take a unified approach to sustainability reporting. Building systems that can simultaneously satisfy SGX, Bursa, and OJK requirements — while aligning with the underlying ISSB framework — will be far more efficient than managing each jurisdiction separately.
Key actions include establishing Scope 1 and 2 emissions measurement capabilities, beginning Scope 3 assessments, conducting climate scenario analysis, and integrating sustainability risks into enterprise risk management frameworks. Companies that invest in robust data infrastructure now will be well-positioned as requirements formalize across the region.