The ASEAN Business Advisory Council (ASEAN-BAC) Malaysia, the Association of Chartered Certified Accountants (ACCA), and their partners in the ASEAN Sustainability Reporting Advocacy Collaborative (ASRAC) unveiled a landmark regional policy statement that charts a unified path forward for sustainability reporting across Southeast Asia, grounded in international best practice and tailored to regional realities.
Launched at the ASEAN Conference 2025 hosted by the Singapore Business Federation, the ASRAC Statement is the first output of this collaborative initiative between ACCA, ASEAN-BAC Malaysia, the Sustainable Finance Institute Asia (SFIA), and the Asia-Pacific Economic Cooperation Business Advisory Council (APEC-BAC) Malaysia. It is one of twelve business priorities being advanced by ASEAN-BAC Malaysia as part of Malaysia’s ASEAN Chairmanship in 2025.
Building on a report by ACCA which will be released at the end of July, the Statement offers recommendations to align ASEAN’s sustainability reporting with international standards while remaining responsive to local business and regulatory needs.
The ASRAC Statement calls for the adoption of the International Sustainability Standards Board (ISSB) standards as a global baseline, implemented through a building-blocks approach that enables jurisdictions to add local requirements without sacrificing global consistency. It also advocates for transition relief to minimise the reporting burden from overlapping frameworks such as the European Sustainability Reporting Standards (ESRS) and emphasises the importance of proportionality — ensuring that reporting frameworks remain practical and scalable for businesses of all sizes, especially small and medium-sized enterprises (SMEs).
Speaking at the launch, Pulkit Abrol, Director – Asia Pacific, ACCA, said: “Today’s finance leaders are stewards of people, planet and prosperity. ACCA is proud to support this important initiative, which reflects ASEAN’s shared commitment to practical, high-quality sustainability reporting. The ASRAC Statement offers a timely call for alignment around ISSB standards, grounded in proportionality and global relevance.
“As a knowledge partner to ASEAN-BAC, we are pleased to contribute to a path that safeguards regional competitiveness while ensuring ASEAN’s voice is heard in shaping the future of global disclosure frameworks. With a 90-year legacy in Singapore and Malaysia, ACCA has long supported the profession in ASEAN, making it a natural partner for regional initiatives like ASRAC. ACCA’s growing presence in ASEAN reflects our commitment to empowering the profession through capacity building, insights, and collaboration with platforms like ASEAN-BAC to lead in sustainable business.”
Tan Sri Nazir Razak, Chair of ASEAN-BAC Malaysia, said, “We now have a unique opportunity to advocate how the future of sustainability reporting in our region should be shaped. ASRAC is precisely the kind of forward-looking advocacy initiative that ASEAN-BAC is proud to lead. It reflects the collective voice of the private sector and professional bodies on how reporting standards should evolve.”
Jukhee Hong, Executive Director, ASEAN-BAC Malaysia and Chair of ASRAC, added, “ASRAC reflects the collective voice of ASEAN's business community confronting escalating costs, complex compliance requirements, and constrained capacity in sustainability reporting. This initiative signals our intent to lead responsibly and pragmatically in the global sustainability agenda by addressing the growing need for clarity, coherence, and capacity-building while making ESG disclosure achievable for all ASEAN businesses, not a formidable challenge."
The Institute of Singapore Chartered Accountants (ISCA) and ASEAN-BAC Singapore have announced their support for the ASRAC initiative. Their participation signals growing regional alignment and momentum.
The Statement also outlines practical implementation pathways, including engagement with finance ministries, capital market regulators, and international standard-setters; support for a unified platform for ESG data; and capacity-building through trusted regional partners such as ACCA.
The full Statement is now available through ASEAN-BAC’s official channels.
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About ACCA
We are ACCA (the Association of Chartered Certified Accountants), a globally recognised professional accountancy body providing qualifications and advancing standards in accountancy worldwide. Founded in 1904 to widen access to the accountancy profession, we’ve long championed inclusion and today proudly support a diverse community of over 252,500 members and 526,000 future members in 180 countries.
Our forward-looking qualifications, continuous learning and insights are respected and valued by employers in every sector. They equip individuals with the business and finance expertise and ethical judgment to create, protect, and report the sustainable value delivered by organisations and economies. Guided by our purpose and values, our ambition is to lead the accountancy profession for a changed world. Partnering with policymakers, standard setters, the donor community, educators and other accountancy bodies, we’re strengthening and building a profession that drives a sustainable future for all.
Find out more at: www.accaglobal.com
About ASEAN-BAC
Established by the ASEAN Leaders at the 7th ASEAN Summit in November 2001 in Bandar Seri Begawan, Brunei Darussalam and launched in 2003, the ASEAN Business Advisory Council (ASEAN-BAC) is the apex private sector body mandated to provide private sector feedback and guidance to boost ASEAN’s efforts towards economic integration, and further identify priority areas for consideration of ASEAN leaders. The ASEAN-BAC will lead in coordinating inputs from established business councils and entities in their interactions with various ASEAN sectoral groups.
About ASEAN-BAC Malaysia
The ASEAN-BAC Malaysia chapter is an integral member in the regional ASEAN-BAC with regular participation at all Council Meetings and Consultation with ASEAN Leaders. Since 2003, ASEAN-BAC Malaysia has provided policy input at various consultations with the ASEAN Leaders, ASEAN Economic Ministers and ASEAN Sectoral bodies. Notably, ASEAN-BAC Malaysia was the Chair in 2015 when Malaysia announced the formation of the ASEAN Community. ASEAN-BAC Malaysia is represented by Chairman Tan Sri Nazir Razak alongside council members Tan Sri Tony Fernandes and Mr. Lim Chern Yuan.
As Malaysia assumes the role as the ASEAN Chair in 2025, ASEAN-BAC Malaysia is proud to take the lead in all private sector policy initiatives and programmes, supporting Malaysia’s Chairmanship vision and Priority Economic Deliverables (PEDs). In realising the vision, ASEAN-BAC Malaysia has begun to roll out 12 policy initiatives and over 60 programmes throughout the year aimed at advocating and pushing for the deepening of ASEAN economic integration, and the promotion of increased cross-border business cooperation.
