PROGRESS IN SUSTAINABILITY PRACTICES WILL CREATE DEMAND FOR SRI FUND WITHIN MALAYSIA

KUALA LUMPUR, Nov 23 (Bernama) –- Continuous progress in business
sustainability practices in Malaysia will translate into greater demand for
Socially Responsible Investment (SRI) funds within the country.

Prime Minister, Najib Tun Razak said, studies had shown that
there is a positive correlation between the sustainability practices of
companies and their share price performance.

He said many international responsibility indices had emerged, such as the
Dow Jones Sustainability Index and FTSE4Good, as well as other rankings like the
Fortune Most Admired Companies.

"These indices profile the world’s most socially responsible companies and
attract global SRI funds," he said in his keynote address at the Sustainability
Guide and Portal "Powering Business Sustainability," here, Tuesday.

Also present were Bank Negara (central bank) Malaysia Governor, Dr Zeti
Akthar Aziz, Bursa Malaysia (Malaysia Exchange) chairman, Mohamed Dzaiddin
Abdullah , Securities Commission chairman, Zarinah Anwar and Bursa Malaysia
chief executive officer, Yusli Mohamed Yusuf.

At the end of last year, the European SRI market value was estimated at
US$7 trillion and this figure is expected to increase to US$26.5
trillion by 2015.

Investors are drawn to companies that integrate environmental and
societal concerns into their strategic planning and conduct business ethically
and responsibly.

Large institutional investors can also actively influence companies to focus
on sustainability.

"I believe that over time, this global development will translate into
greater demand for SRI funds within Malaysia," said Najib, who is also the
Finance Minister.

He commended Bursa Malaysia for coming up with the Business Sustainability
Programme and believes it will make a difference.

Najib said sustainable development would have a concrete impact on national
economic growth, industrial innovation and the bottom line of individual
businesses.

He said although Malaysia began its sustainability journey long ago, it
is time for corporate Malaysia to help the nation move faster, by adopting an
integrated and inclusive approach to business that embraces a group of
stakeholders broader than just shareholders.

-– BERNAMA