The National Sustainability Reporting Framework (NSRF) addresses the use of the IFRS® Sustainability Disclosure Standards issued by the International Sustainability Standards Board (ISSB), specifically the IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information, and IFRS S2 Climate-related Disclosures (collectively referred to as the ISSB Standards), as the baseline sustainability disclosure standards for companies in Malaysia, as well as the assurance requirements for sustainability reporting.
The NSRF is meant to ensure corporate Malaysia provides consistent, comparable and reliable sustainability information to enhance Malaysia’s competitiveness and attractiveness to investors.
Implementation of the NSRF will be through a phased and developmental approach, supporting widespread adoption and continuous improvement in the quality of disclosures. The NSRF attempts to follow the ISSB Standards closely as well as providing the same reliefs prescribed by the ISSB, subject to the respective regulators’ requirements. However, given the varying levels and maturity in sustainability practices and reporting, the NSRF spreads the adoption timeline to take into account the anticipated challenges.
Climate-First Approach
Prioritising climate-related disclosures to support Malaysia’s net-zero goals, with a focus on transparency and accountability. Companies are encouraged to provide clear, accurate data on their climate risks and opportunities to facilitate informed decision-making.
Phased Implementation
The NSRF provides a phased approach to sustainability reporting, allowing companies to gradually adopt the ISSB standards. This approach ensures that companies of different sizes and levels of readiness can implement reporting processes in stages, giving them time to build capacity and align with global standards.
Additional Transition Reliefs
To ease the adoption of sustainability reporting, additional transition reliefs are made available under the NSRF. These include focusing on climate-related disclosures first and allowing additional time for more complex reporting, such as Scope 3 GHG emissions. This allows companies to report their sustainability and climate-related disclosures at a manageable pace.
PACE
PACE provides tools and guidance to help companies meet their sustainability reporting requirements. This includes access to policy guidance, emissions calculators, and capacity-building programs, ensuring companies have the resources they need to comply with the NSRF.
Explore NSRF
PACE (Policy, Assumptions, Calculators, and Education) is an initiative designed to assist companies in adopting the NSRF by providing tools, educational resources, and capacity-building programs. Whether your company is just starting its journey or already advanced in sustainability practices, PACE is here to guide you at every step.
Key Features
Policy Guidance
Offering detailed policy insights and practical advice on how to integrate sustainability into business strategies and reporting processes.
Assumptions
Consensus-driven support on critical reporting assumptions, helping companies standardize their disclosures and ensure comparability across industries.
Emissions Calculators
Tools that help companies accurately measure their carbon footprint, ensuring transparent and credible emissions reporting.
Educational Resources
Access to learning materials, webinars, and capacity-building workshops tailored to support companies in adopting the ISSB Standards.
The Advisory Committee on Sustainability Reporting (ACSR), with the endorsement of the Ministry of Finance, has developed the NSRF. The ACSR is an inter-agency committee comprising representatives from the Securities Commission Malaysia, the Audit Oversight Board of the Securities Commission Malaysia, Bank Negara Malaysia, the Companies Commission of Malaysia, Bursa Malaysia and the Financial Reporting Foundation.
