SINGAPORE, May 7 — Asean must build on its shared strengths and deepen partnerships on climate action across all sectors following the United States’ withdrawal from the Paris Agreement and its sweeping tariff plans.
Natural Resources and Environmental Sustainability Minister Nik Nazmi Nik Ahmad said Malaysia is ready to collaborate, share lessons, and take the lead where possible.
“No country can face the climate crisis alone. But together, Asean can lead. We have natural resources, growing markets, young populations, and a shared destiny.
“We must build on our common strengths and deepen our partnerships across governments, businesses, civil society, and academia,” he said in a pre-recorded keynote address at Financing Asia’s Transition Conference here today.
While Malaysia remains committed to resolving the tariff issue through bilateral and regional negotiations, Nik Nazmi said the climate cooperation agenda must progress in tandem.
He reiterated Malaysia’s commitment to achieving net-zero greenhouse gas emissions by 2050, with a pledge to peak emissions by 2030 and reduce the intensity of emissions per unit of gross domestic product by 45 per cent from 2005 levels.
Malaysia, he said, views the green transition as an economic stimulus, particularly in areas such as energy efficiency, solar photovoltaic panels and electric vehicle manufacturing, green hydrogen, and nature-based solutions.
He said the National Energy Transition Roadmap is set to unlock investments of RM1.85 trillion by 2050, offering abundant opportunities for local entrepreneurs, workforce upskilling, and an expanded role for women and youth in the clean energy sector.
Nik Nazmi called on development banks, multilateral institutions, and the private sector to help build a financial ecosystem that supports sustainability.
He said green ambitions such as the Asean Power Grid, which is aimed at supporting the region’s energy transition to renewable energy, require matching financial infrastructure.
“Private capital must be mobilised, de-risked, and directed towards sustainable investments. Blended finance, green bonds, sustainability-linked loans, and catalytic funds must be scaled up,” he said.
Nik Nazmi noted that Malaysia has introduced the green sukuk and is actively exploring innovative financing mechanisms to encourage private sector participation.
According to the Asian Development Bank, Asean will require an estimated US$210 billion (RM889.87 billion) annually until 2030 to support climate-aligned infrastructure.
— Bernama
