Kuala Lumpur: Bursa Malaysia can establish itself as a regional leader in carbon trading if the country can strengthen reforestation and green initiatives.
Plantation and Commodity Minister Datuk Seri Johari Abdul Ghani said domestic businesses that want to trade carbon credits or carbon allowances can take advantage of Bursa Malaysia as a reliable marketplace, similar to trading in commodities such as palm oil.
“This is not just an environmental strategy; it is an economic strategy – linking sustainability with profitability, and putting Malaysia at the forefront of the green economy,” he told reporters at the launch of the International Greentech and Eco Products Exhibition and Conference Malaysia 2025 (iGEM 2025) today.
“Take reforestation, for example. A RM100 million reforestation project can generate carbon credits – tradable assets that represent a verified reduction in carbon emissions.
“These credits can be exchanged for a monetary value. Currently, Malaysia’s carbon credit price is around US$3 per tonne, yet the International Monetary Fund estimates that the fair global price is between US$50 and US$150 per tonne. This highlights a tremendous growth opportunity,” said Johari, who is also the acting Natural Resources and Environmental Sustainability Minister.
Speaking on climate change in ASEAN, Johari said all countries in the region should play their role in tackling this crisis.
For ASEAN, he added, this means demonstrating both commitment and leadership – standing together to advance a sustainable, low-carbon future for the region and beyond.
Johari said, “As ASEAN Chair in 2025, Malaysia has put sustainability and climate action at the center of our regional agenda as we continue to be a driver of change.
“Through the Kuala Lumpur Sustainability Summit 2025, Malaysia has strengthened ASEAN’s climate discourse, aligning our region around three key priorities – adaptation, mitigation and resilience.
“Through iGEM, we move from policy to opportunity, turning discussions into partnerships and partnerships into projects. iGEM showcases the technologies that will shape the next generation of industries. From clean energy and sustainable mobility to waste reduction, carbon management and nature-based solutions,” he said.
He also said the government is finalizing the National Carbon Market Policy, which defines Malaysia’s approach to carbon trading and guides the use of carbon pricing to promote investment, innovation and low-carbon development.
The policy will offer a phased framework for both compliance and
Voluntary carbon markets, supported by robust measurement, reporting and verification systems.
Johri said it will also promote carbon credit projects in forestry, renewable energy and nature-based solutions, thereby creating new income opportunities for state governments, local communities and private investors.
“In addition, the Carbon Capture, Utilization and Storage Bill, passed earlier this year, positions Malaysia as a regional hub for carbon.
Management – a sector that could achieve economic value of up to US$250 billion over the next three decades.
“Malaysia has finalized its third Nationally Determined Contribution (NDC 3.0) under the Paris Agreement. This ambitious but practical target underlines Malaysia’s strong commitment to accelerating the low carbon transition.
“The NDC 3.0 was developed through consultation with state governments, industries and civil society groups. Once approved by the Cabinet, Malaysia will submit the NDC 3.0 to the UNFCCC Secretariat,” Johari said.
These initiatives show that Malaysia’s green transformation is structured, strategic and sustained. “This is a long-term national mission built on strong policy, clear laws and sustainable economic opportunity,” Johri said.
