Heaptalk, Jakarta — Four ASEAN stock exchange, Malaysia’s Berhad Exchange (Bursa Malaysia), Indonesia’s Stock Exchange (IDX), Stock Exchange of Thailand (SET), and Singapore Exchange (SGX Group), announced their strategic collaboration in ASEAN Interconnected Sustainability Ecosystem (ASEAN-ISE).
This cooperation aims to boost the implementation of sustainability in ASEAN through the common ESG Metrics in the system of exchange participated respectively. In this collaboration, Bursa Malaysia will act as the ASEAN-ISE secretariat to support the success of cooperation objectives, including:
- Create an integrated ESG ecosystem to drive sustainable development progress in ASEAN.
- Facilitate the exchanges to develop an economic-scale system through cost efficiencies and quicker implementation durations with the relevant solutions.
- Empower exchanges to proactively encourage listed companies to be ESG-compliant in maximizing business value through quality information disclosure. This involves improving infrastructure solutions to facilitate cross-border trade mechanisms, connecting companies’ supply chains with ESG-oriented investment sources, and providing suppliers with good ESG practices and information disclosure.
“With this collaboration, we intend to establish an open and inclusive ecosystem in which ASEAN’s participating exchanges operate a trusted and fundamentally aligned data infrastructure, which is supported by a comprehensive suite of solutions on a modular, fit-for-purpose and cost-efficient basis that can be implemented in response to specific market needs and conditions on participating exchanges,” affirmed Bursa Malaysia’s CEO, Datuk Muhamad Umar Swift.
As information, ASEAN-ISE has been inaugurated in the exchanges meeting agenda, which agreed on a basic governance structure and operational blueprint for building an interconnected, sustainable ecosystem. Participating exchanges have approved deliverables from this collaboration considering conditions and level of readiness in each market. For this reason, Participating exchanges will adopt ASEAN Exchanges Common ESG Metrics on their ESG reporting platforms.
“The addition of SGX Group to the Interconnected Sustainability Ecosystem reflects the robust collaboration between exchanges in ASEAN to support a sustainable financial ecosystem in the ASEAN capital market. This step is part of encouraging the ASEAN Common ESG Metrics implementation to boost responsible business practices among companies listed on the ASEAN stock exchange.” President Director of IDX, Iman Rachman, said.
