1st national consultation on integrated policy strategies for a sustainable future of Malaysia

UN Trade and Development (UNCTAD) has developed a project that aims to assist four major developing countries in Asia – Kazakhstan, Malaysia, Pakistan and Türkiye - in their efforts to meet the Sustainable Development Goals (SDGs) related to green transformative development. In particular, the project is designed to assist these countries in achieving the 2030 Agenda through 1) effective integrated policy strategies and improved capacity at national level, including South-South peer-learning; and 2) economic cooperation and policy coordination at regional level.

The project comes at an opportune moment for Malaysia, following the launch, in September 2023, of the New Industrial Master Plan (NIMP) 2030, a comprehensive industrial master plan that charts a clear course for Malaysia over seven years to keep the country’s manufacturing industry and related services competitive on a global level. This includes capitalizing on core trends - such as supply chain diversification, digitalization and environmental, social and governance (ESG) considerations - as well as a technology adoption strategy aimed at further increasing productivity and international competitiveness. In addition, Malaysia’s Net Zero 2050 plans and the Malaysia Renewable Energy Roadmap (MyRER) set ambitious climate change adaptation targets, including an increase in the country’s renewable energy capacity to 70 per cent by 2050, in line with the national aspiration to achieve net zero greenhouse gas emissions over the next 26 years.

In this context, the project provides an excellent opportunity to support policymakers in their effective delivery of national plans and policies as well as to facilitate creating synergies and strengthening policy coordination at the regional level in the area of green developmental transformation and industrialization.

Purpose and key objectives

This first national consultation meeting aims to bring together national, regional and international experts, policymakers and stakeholders to share knowledge and expertise on Malaysia’s green industrialization strategy and experiences so far. The key objectives are to consult with national stakeholders particularly policy makers to  1) identify core national challenges, constraints and opportunities, 2) explore potential policy implications arising from these and 3) discuss the role and potential of regional synergies and partnerships for assisting national efforts in promoting green development.

Under this project, UNCTAD and its partner in Malaysia, the Khazanah Research Institute, have joined efforts to issue five in-depth studies whose findings will be presented at this meeting to guide discussions. These include a study on the experience of green industrialization in Malaysia so far, lessons to be learnt as well as current challenges and opportunities, three sectoral case studies (semiconductors, electric vehicles and energy) and an analysis of different financing options for green industrialization in Malaysia with a focus on the role of Government-Linked Investment Companies and Government-Linked Companies.

A closing session will take stock of key issues, policy scenarios and implications as well as consider the role regional policy coordination as a catalyst to further promote national advancements for green transformation and industrialization. The outcomes of this meeting will lay the foundations for the 2nd national consultation meeting in 2025 that will focus on further analysis and discussion of policy strategy for green transformation and industrialization in Malaysia.