As investors, consumers, and regulators increasingly demand transparency and accountability, ASEAN countries are enhancing their sustainability disclosures. For companies operating in Southeast Asia, understanding the regulatory landscape across borders is now mission-critical. This blog provides a comprehensive comparison of ESG (Environmental, Social, Governance) reporting frameworks across the ASEAN region, focusing on the six most economically active countries: Singapore, Malaysia, Thailand, Vietnam, Indonesia, and the Philippines.

Why Compare ESG Disclosures in ASEAN?

The ASEAN region is an emerging force in sustainable finance. Its growing economies face dual pressures: driving growth and aligning with international climate and social equity goals. To respond, many ASEAN governments and stock exchanges have rolled out or are strengthening ESG disclosure regulations. However, the pace, frameworks, and mechanisms differ widely. For businesses, investors, and ESG professionals, knowing where each country stands is key to effective reporting, compliance, and cross-border alignment.

Common Trends Across the Region

Despite varying stages of maturity, most ASEAN markets share the following ESG trends:

• Mandatory Disclosures for Listed Companies: Driven by stock exchanges and financial regulators.

• Adoption of Global Standards: GRI (Global Reporting Initiative), TCFD (Task Force on Climate-related Financial Disclosures), and the newly launched ISSB standards are widely referenced.

• Focus on Climate and Carbon Emissions: Many countries now mandate disclosures on Scope 1 and 2 emissions, with Scope 3 emerging.

• ASEAN Taxonomy: A region-wide classification system helping align sustainable finance definitions and disclosures.

Country-By-Country Breakdown

Singapore

Singapore leads the region in ESG standardization. SGX has mandated climate disclosures based on ISSB standards starting financial year 2025 for all listed issuers, with a phased approach to expand to full ESG by financial year 2026. Third-party assurance will be required by the financial year 2027. The city-state supports this transition through Project Savannah and simplified guidance for SMEs.

Malaysia

Malaysia’s National Sustainability Reporting Framework (NSRF), closely aligned with ISSB standards, mandates ESG reporting for large Main Market companies from 2025 onward, with gradual inclusion of SMEs. Malaysia also published the Simplified ESG Disclosure Guide (SEDG) to help SMEs align with voluntary best practices while preparing for eventual regulatory inclusion.

Thailand

Thailand requires all listed companies to report sustainability information via the Form 56-1 One Report. While this follows a “comply or explain” model, SET encourages companies to use GRI Standards. Regulatory discussions are ongoing about strengthening ESG-related taxonomies and introducing mandatory climate metrics.

Vietnam

Circular 96/2020 mandates ESG reporting for all listed companies, with disclosures primarily guided by GRI. Vietnam is also preparing to launch a national carbon trading platform by 2028. However, implementation gaps and capacity issues remain, especially for mid-sized enterprises.

Indonesia

Indonesia’s Financial Services Authority (OJK) mandates ESG disclosures through POJK 51/2017 for all listed companies and financial institutions. The country has adopted its own green taxonomy but stirred controversy by allowing coal financing under “transitional” green investments. Nonetheless, regulators are engaging stakeholders to align more closely with global norms.

Philippines

Under Securities and Exchange Commission SEC Memorandum Circular 4/2019, listed companies in the Philippines must submit sustainability reports on a comply-or-explain basis. Task Force on Climate-related Financial Disclosures TCFD recommendations are promoted, and the government is increasingly encouraging assurance and verification to enhance report reliability..

Other ASEAN Countries: Emerging Frameworks

Brunei

Brunei is in the early stages of ESG development. While there are no mandatory ESG disclosure requirements yet, the government has launched the Brunei Darussalam National Climate Change Policy (BNCCP). Financial regulators are beginning to consult on sustainability reporting aligned with ASEAN taxonomy and green finance.

Cambodia

Cambodia currently has no mandatory ESG reporting framework for companies. However, the National Bank of Cambodia has issued guidelines for financial institutions to consider environmental and social risks. The Cambodia Securities Exchange (CSX) is also exploring ESG reporting requirements, especially for listed entities.

Laos

ESG reporting in Laos remains voluntary and at a nascent stage. The Bank of the Lao P.D.R. is considering integrating environmental and social safeguards into financial assessments, particularly in infrastructure and hydropower sectors. Support is expected through regional partnerships such as the ASEAN Capital Markets Forum.

Myanmar

There are currently no comprehensive national ESG mandates, although international investors often require disclosures aligned with IFC Performance Standards or GRI. Local efforts remain limited but may evolve as the economic situation stabilizes.

ASEAN-Wide Support Structures

To harmonize efforts, the ASEAN Capital Markets Forum introduced the ASEAN Taxonomy and Simplified ESG Disclosure Guide. These frameworks offer shared definitions of green, amber, and red activities and recommend 38 priority disclosures tailored for all industries, with a specific focus on enabling SMEs. Stock exchanges across ASEAN are also members of the Sustainable Stock Exchanges Initiative, promoting consistent disclosure principles.

Recommendations for Businesses

• Use ISSB or GRI as a Baseline: These are widely accepted and ensure cross-border alignment.

• Track Local Developments: Especially in Brunei, Cambodia, and Laos where regulations are expected to evolve.

• Prepare for Third-Party Assurance: Especially if operating in Singapore, Malaysia, or working with international investors.

• Engage Regional Frameworks: Use the ASEAN SEDG and ASEAN Taxonomy to guide disclosures if you’re a regional SME.

• Invest in Capacity Building: Especially for markets where ESG expertise is still developing.

ASEAN’s ESG landscape is evolving rapidly. As global standards converge and local regulators catch up, businesses that proactively align with emerging disclosure norms will enjoy reputational gains, smoother compliance, and better access to sustainable finance. Whether you’re a multinational with regional subsidiaries or a local enterprise scaling up, understanding this ESG mosaic is key to leading in Southeast Asia’s sustainable economy.