09/09/2025

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TUESDAY | SEPT 9, 2025

Matrade: Mission to S. Africa, Kenya nets RM125m sales KUALA LUMPUR: Malaysian companies booked sales worth more than RM125 million, including RM13.6 million in confirmed transactions, during the Sept 1-5 Export Acceleration Mission to South Africa and Kenya organised by Malaysia External Trade Development Corporation (Matrade) in collaboration with SME Bank Malaysia. In a statement, Matrade said 13 Malaysian companies from various sectors took part, holding 240 business matching sessions with 128 South African and Kenyan buyers. “The 13 Malaysian companies represented key sectors with high export potential, including medical devices and equipment, pharmaceuticals, cosmetics and beauty products, and halal food and beverages,” it said. Matrade chairman Datuk Seri Reezal Merican Naina Merican said the initiative formed a key part of the government’s market diversification strategy to expand Malaysia’s export footprint, recognising Africa’s economic potential and its role as a vital emerging market. “Our companies’ strong performance is a testament to the demand for quality Malaysian products and services in Africa. “Matrade, together with SME Bank, is committed to creating these vital platforms for Malaysian companies, parti cularly MSMEs, to secure new oppor tunities and grow their global footprint,” he said. He added that Africa, with its 1.5 billion population, offered immense potential and that the mission marked a significant step in strengthening Malaysia’s trade ties and economic presence on the continent. Matrade said the mission included meetings with South African and Kenyan government agencies and foreign chambers such as the Department of Trade, Industry and Competition, the South African Chamber of Commerce and Industry and Business Unity South Africa. From January to July, Malaysia’s total trade with South Africa was valued at RM3.24 billion. For the same period, trade with Kenya reached RM3.26 billion, Matrade said. – Bernama

Carbon markets, sustainable finance key to energy transition

across jurisdictions. “From a strategic perspective, joint talent ecosystems could be effective, with co-branded certifications, regu lator-to-regulator fellowships, and case-based learning,” he explained. “After all, competitive advantage for Islamic finance is not found within products or platforms, but in the people entrusted to design, promote, and supervise offerings,” he added. Such initiatives, Faiz said, would not only strengthen international linkages but also prepare a new generation of leaders to drive the industry forward. “Looking ahead, we can explore similar initiatives with the GCC, nurturing the next generation of leaders who will carry our industry forward.” participation from SMEs and corporates,” Azmir said. He acknowledged, however, that financing adoption among small and medium enterprises remained slow, despite multiple government incentives. “SMEs need to start their journey sooner rather than later. Waiting will only increase the costs of transition,” he said. CIMB has committed to expanding its suite of sustainable finance offerings to accelerate the shift, including sustainability linked loans and green asset financing. “We want to be a catalyst that helps our clients future-proof their operations while contri buting to national sustainability goals,” Azmir said. The session also underscored the interconnected roles of regu lators, financiers and industry players in driving Malaysia’s energy transition. While BCX provides the market infrastructure for carbon trading and CIMB offers finan cing pathways, regulators such as the Energy Commission and the Malaysian Investment Develop ment Authority are expected to set the policy framework to sup port long-term competitiveness. The TERA Sharing Session and Panel Discussion brought to gether senior management, regu latory representatives and deci sion makers to explore the impli cations of the new electricity tariff structure on manu facturers. The event also show cased TERA’s renewable energy solutions, including smart solar and energy efficiency systems, designed to help businesses manage costs while reducing their carbon footprint.

PETALING JAYA: Carbon markets and sustainable financing instru ments are set to play a pivotal role in helping Malaysian industries Ű BY DEEPALAKSHMI MANICKAM sunbiz@thesundaily.com

o They are necessary tools for industries to navigate rising power costs and aligning with Malaysia’s net-zero ambitions, say experts

navigate rising ener gy costs while stay ing on track with the country’s net-zero ambitions. Bursa Carbon Ex change (BCX) assist ant vice-president of business develop ment and sales Muhammad Rizal Azmi said carbon credits and RECs (renewable energy certificates) were no longer optional tools

participate in carbon trading, but the direction is clear: decarbon isation is no longer optional for industry,” Muhammad Rizal said. CIMB Bank regional head of sustainable finance for group commercial and transaction bank ing Azmir Abdullah echoed this urgency, stressing that banks could not reach net zero without their clients doing the same. “We have an ambition to achieve net-zero financed emi ssions by 2050, but this can only happen if our clients also decar bonise. “Financing emissions is the real battleground,” he said. Azmir outlined CIMB’s “Green Disruptions” umbrella, which focuses on sustainable lending, rebates and investment struc tures designed to make re newable energy adoption more accessible. He cited examples of corpo rates securing cost savings through green financing, in cluding a listed company that installed solar panels with CIMB’s support, achieving both lower energy bills and improved ESG ratings. In another case, a healthcare group upgraded its cooling systems through a green chiller financing facility, resulting in substantial efficiency gains. “These are not theoretical solutions; they are already happening in the market. What we need now is scale, and greater

Azmir

Muhammad Rizal

Since its launch in 2022, BCX has facilitated the trading of both instruments, conducting Malaysia’s first carbon credit auctions through projects such as the Sabah Green Forest conservation initiative and methane capture at palm oil mills. More recently, the exchange completed its first REC transaction from a hydropower project in Sarawak. Muhammad Rizal noted that market dynamics were beginning to take shape, with solar RECs trading at around RM20 compared with RM5 for hydro, reflecting higher demand for solar-backed claims. He added that Malaysia’s forth coming Climate Change Bill and national carbon market policy, expected after the tabling of Budget 2025, would provide greater clarity on carbon tax mechanisms, in cluding pricing, thresholds and compliance obligations. “The government’s framework will determine how companies

but critical mechanisms for corporates to address residual emi ssions and demonstrate account ability. “Carbon markets are essentially a financing mechanism to channel private sector funding into decar bonisation projects. They allow companies to offset the balance of emissions that cannot be elimi nated due to technical or financial constraints,” he said during a presentation at the TERA Sharing Session and Panel Discussion yesterday. Muhammad Rizal explained that while carbon credits can be used to offset Scope 1 and Scope 3 emissions, RECs are designed specifically to address Scope 2 emissions from purchased elec tricity. “Companies often use both in combination, credits for their direct and supply chain emissions and RECs for electricity-related emi ssions,” he said.

Internationalisation central pillar in SC’s Capital Market Masterplan 4 PETALING JAYA: Internationalisation will be a defining feature of the next phase of Malaysia’s capital market development, said Securities Com mission Malaysia (SC) chairman Datuk Mohammad Faiz Azmi, as the regu lator prepares to launch its Capital Market Masterplan 4 (CMP4) by the end of the year. friends and rekindle old relationships. And that is why we are here in Oman,” he said in his keynote address. Faiz noted that Malaysia’s capital market – already one of the world’s most developed Islamic financial ecosystems – must continue to strengthen trust and efficiency while expanding its global reach. purpose other than just making profits,” Faiz said. “It is not just about making a profit, but how you made that profit. In my part of the world, my investors want to know which invest ments would meet our common syariah principles from those that do not.” be equally crucial in shaping the next phase of market growth. “Successful execution requires human capital and specialised skill sets,” he said. “The SC’s upcoming Capital Market Masterplan 4 will emphasise developing pathways for syariah advisers, fintech specialists, and sustainability professionals.”

He added that the guidance has become a vital benchmark for aligning Malaysia’s Islamic capital market with ethical, sustainable, and values-driven growth. By embedding Maqasid Al-Shariah principles, the SC aims to ensure that future products and investments remain anchored in fairness, steward ship, and inclusivity, while appealing to a wider base of global investors. Human capital, Faiz stressed, will

Investing in talent, he added, is essential to ensure the Islamic finance industry continues to expand not only in scale but also in quality and impact. “By investing in future skills, we can ensure the industry has the capacity to grow and serve, both in terms of quality and impact,” Faiz said. To accelerate capacity building, Faiz proposed greater collaboration

“The SC’s role is to ensure that as these opportunities grow, our market remains efficient, well-governed, and trusted,” he said. A key foundation for this vision is the SC’s Maqasid Al-Shariah Guidance Islamic Capital Market Malaysia, re leased in 2023, which underscores that finance must deliver value beyond profit. “Finance must serve a higher

“Internationalisation is a central pillar of our strategy, including in the SC’s upcoming Capital Market Master plan 4,” Faiz told delegates at the IFN Oman Forum 2025 in Muscat, Oman, yesterday. “We intend to articulate to the market why we need to seek out new investors around the world and not just from the traditional markets we have now. We need to find new