IDX, Malaysian Exchange And Thailand MoU To Connect ESG Ecosystem

Share illustration (Photo: Doc. Antara)

JAKARTA - PT Bursa Efek Indonesia (IDX), Bursa Malaysia Berhad, and Stock Exchange of Thailand (SET) signed a Memorandum of Understanding (MoU) as an effort to connect environmental, social and governance ecosystems (ESG). This is to increase business value and sustainable development in the ASEAN region.

IDX President Director Iman Rachman said the MoU reflects a common vision to create a sustainable future for the capital market in the ASEAN region.

"We hope to cooperate with the Malaysian Exchange and the SET in developing innovative solutions that are beneficial to our stakeholders, and contribute to the development of a strong and responsible company," said Iman, quoting Antara, Tuesday, September 19.

On the same occasion, Malaysia's Chief Executive Officer (CEO) Datuk Muhamad Umar Swift said the MoU aims to increase cross-border cooperation and take advantage of opportunities in aligning ESG measures and ESG infrastructure to improve sustainable business practices in ASEAN.

"This MoU is the basis for collaborations similar to other interested exchanges in Asia, and is a strong basis for involving partners from North countries," Umar said.

Meanwhile, SET President Pakorn Peethawatchai said this collaboration allows together to create an ESG ecosystem that is interconnected, supporting the integration of the ASEAN market as an asset-class to attract international investors.

"In addition, to provide an opportunity to share knowledge, it is possible to take advantage of each other's strengths in order to create a more sustainable future for our market," said Peethawatchai.

The three exchanges will explore various initiatives, including identifying important components of ESG infrastructure to support companies in seeking decarbonization and sustainability throughout their supply chains.

Kemudian, membangun lingkungan sandbox yang dirancang untuk memfasilitasi perdagangan, dan menciptakan peluang bisnis baru bagi perusahaan dan chain pasokan mereka, termasuk usaha kecil dan menengah.

Furthermore, utilizing expertise in ESG practices through workshops, training sessions, and knowledge-sharing programs to support the improvement of the ESG ecosystem.