The Securities Commission Malaysia has opened a public consultation to review the country’s corporate governance framework.
The consultation is intended to assess whether existing governance standards remain fit for purpose as market conditions evolve and expectations around accountability, risk oversight and technology use continue to rise.
According to the discussion paper, the review will look at how boards and management can play a stronger role in driving long term value creation while improving overall board effectiveness.
Areas under consideration include behavioural expectations at board level, agility in managing emerging risks and the adoption of new technologies.
The paper also flags potential enhancements to board composition and independence, alongside measures to strengthen stakeholder trust through more timely engagement and access to information.
It further highlights technology governance issues, including artificial intelligence, cybersecurity, data management and digital ethics.
Beyond board leadership, the consultation covers effective audit and risk management.
This includes proposals to strengthen disclosure around the appointment and reappointment of external auditors and the tendering of audit firms.
It also addresses integrity in corporate reporting, with a focus on the quality of shareholder engagement, the conduct of annual general meetings and resolutions related to director appointments.
The review is aligned with the forthcoming Capital Market Masterplan 4, which positions corporate governance as a key enabler of a resilient, inclusive and sustainable capital market.
Feedback from the consultation will guide revisions to the Malaysian Code on Corporate Governance and related frameworks, with the aim of maintaining alignment with global best practices.
The discussion paper is open for feedback from 12 December 2025, with comments due by 6 February 2026.
Listed companies, investors, industry associations and other market participants are encouraged to submit their views.
The paper is available on the Securities Commission’s website, and enquiries may be directed to mccg@seccom.com.my.
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