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THE concept of “Environmental, Social, and Governance” (ESG) standards in the corporate world may appear as a recent trend to many, but its foundation can be traced back to 2004 when the United Nations Global Compact released the “Who Cares Wins” report encouraging financial market stakeholders to adopt ESG principles for the long term, highlighting the benefits of responsible investment and its positive impact on society and the environment.

ESG gained attention in Malaysia when the Prime Minister announced Budget 2024 and revealed that significant funds were allocated to promote ESG practices in businesses by introducing tax deductions, incentives, and exemptions for ESG-related spending.

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