WorksheetsBursa Malaysia Sustainability Reporting
Total questions: 20
Worksheet time: 10mins
Under Bursa Malaysia’s enhanced sustainability reporting requirements, which global standards must listed issuers adopt as the baseline for ESG disclosures?
Global Reporting Initiative (GRI)
Task Force on Climate-related Financial Disclosures (TCFD)
IFRS Sustainability Disclosure Standards (S1 & S2)
SASB Standards suite
What is the minimum reporting period for sustainability metrics and targets under Bursa’s enhanced framework?
Two financial years minimum
Five financial years fixed
One financial year only
Three financial years on a rolling basis
Which of the following is a key objective of Bursa Malaysia’s enhanced ESG disclosure requirements?
Align Malaysian reporting with the National Sustainability Reporting Framework
Replace financial reporting with sustainability reports
Reduce compliance costs for issuers
Eliminate the need for external assurance
Under Bursa Malaysia’s enhanced sustainability requirements, what must companies disclose regarding sustainability-related risks and opportunities?
Board composition and remuneration details
Future dividend payout ratio forecasts
Only qualitative narrative statements
Metrics, targets, and performance progress
What is the primary purpose of IFRS S1 in sustainability reporting?
To require disclosure of sustainability risks and opportunities useful to investors
To standardize carbon accounting across every industry
To replace financial reports entirely with ESG reports
To mandate climate-specific disclosures only for all firms
When does IFRS S1 become effective for annual reporting periods?
1 January 2023 for all entities
1 January 2025 for calendar-year reporters
1 January 2024 for periods beginning on or after this date
1 January 2026 for first-time adopters
Which statement best describes the scope of IFRS S1?
It covers material sustainability-related risks and opportunities across the entity’s value chain
It applies only to climate-related disclosures
It is limited to governance disclosures only
It applies only to financial institutions
Which key elements must entities disclose under IFRS S1?
Governance, Strategy, Risk Management, Metrics and Targets
Financial ratios, dividend policy, capital structure
Board composition, remuneration, shareholder voting results
Only qualitative narratives of sustainability risks
Under IFRS S1, what must companies disclose about their sustainability-related strategy?
Only short-term operational plans
Future dividend payout ratios
How sustainability risks and opportunities affect business model, strategy, and cash flows
Board remuneration linked to ESG performance
Under IFRS S1, what must be included when disclosing sustainability-related metrics and targets?
Only qualitative descriptions without numerical data
Disclosure of metrics and targets used to monitor performance, including methodologies, assumptions, and progress against prior periods
Reporting of ESG-linked financial ratios only
Voluntary target disclosure without prior-period comparatives
Under IFRS S2, what is required when presenting climate-related scenario analysis?
Only qualitative narratives of possible climate futures
Disclosure of resilience of the entity’s strategy under different climate scenarios, including assumptions and methodologies
Reporting of climate-linked financial ratios only
Voluntary disclosure of scenarios without comparatives
Which climate-related risks must be disclosed under IFRS S2?
Only transition risks such as carbon pricing
Only reputational risks linked to climate change
Both transition risks and physical risks, with quantitative and qualitative detail where material with detail where material
Only physical risks like floods and heatwaves
Under IFRS S2, which statement best describes minimum GHG emissions disclosure requirements?
Provide voluntary emissions without assurance procedures
Report only Scope 1 emissions data
Report Scope 1 and Scope 2, with Scope 3 if material
Report Scopes 1, 2, and 3 regardless of materiality
An entity preparing climate-related metrics and targets under IFRS S2 should include which elements?
Metrics and targets used to manage climate risks and opportunities, progress against targets, and linkage to financial statements
Targets disclosed without methods or comparatives
Only current year emissions figures
Board composition and pay tied to ESG outcomes
Which option correctly distinguishes physical risks from transition risks in climate reporting under IFRS S2?
Physical risks arise from direct climate impacts (e.g., extreme weather, rising sea levels), while transition risks arise from policy, technology, and market shifts during the move to a low‑carbon economy
Physical risks arise from regulations like carbon taxes; transition risks are floods
Physical risks are voluntary disclosures; transition risks are mandatory requirements
Physical risks affect only banks; transition risks affect only manufacturers
Under the Malaysian Code on Corporate Governance (MCCG 2021), how is the board expected to integrate sustainability into corporate strategy and oversight?
By focusing only on short-term financial performance and leaving ESG matters to regulators
By publishing a voluntary sustainability statement without linking it to corporate governance practices
By ensuring sustainability considerations are embedded into the company’s strategy, governance, and risk management, with clear accountability at board level
By delegating all sustainability responsibilities to management without board involvement
What is the primary role of Internal Audit in ESG reporting?
To provide independent assurance on the accuracy, completeness, and reliability of ESG disclosures
To prepare the sustainability report on behalf of management
To set the company’s ESG strategy and targets
To approve supplier contracts linked to ESG initiatives
How does Internal Audit contribute to ESG risk management?
By designing marketing campaigns to promote ESG achievements
By negotiating with regulators on ESG compliance
By setting emission reduction targets for the company
By identifying and testing controls that mitigate ESG risks such as climate, social, and governance issues
In relation to ESG, how should Internal Audit engage with the board and process owners?
By delegating ESG responsibilities entirely to external consultants
By challenging assumptions, highlighting gaps, and recommending corrective actions to strengthen governance and reporting credibility
By approving ESG budgets and capital allocations directly
By focusing only on financial risks and ignoring ESG risks
How can Internal Audit help an organization prevent greenwashing in its ESG disclosures?
By independently verifying ESG data sources, testing controls, and ensuring reported claims are supported by evidence
By drafting the sustainability report on behalf of management
By approving marketing campaigns that highlight ESG achievements
By ignoring ESG risks and focusing only on financial audits
