WHEN the floodwaters reached the roofs of kampung houses in Kuala Krai, no one needed a scientific report to know the climate crisis had arrived.
As the global climate emergency deepens, nations are being called to act not just responsibly but also decisively. Malaysia, with its relatively low unemployment rate of 3.3% as of early 2025, is well-positioned to lead but must now choose between business-as-usual and bold transformation.
The mounting frequency of floods, heatwaves and ecological degradation underscores one truth: we can no longer separate economic ambition from environmental responsibility.
The 2022 monsoon floods that ravaged Kelantan and Terengganu were not isolated events. In 2024 alone, Malaysia experienced severe flooding that displaced over 122,000 people, with the worst impacts seen in Kelantan, Terengganu and Sarawak.
In the past five years, more than 55 major flood events have struck our country, inflicting economic damages exceeding RM8 billion.
Meanwhile, transboundary haze continues to suffocate our skies and extreme weather is pushing our agricultural yields and water security to precarious limits.
Malaysia’s economy, still heavily reliant on carbon-intensive sectors such as oil, gas, and monoculture agriculture, is at odds with its environmental aspirations.
In 2023, carbon dioxide emissions stood at approximately 283.3 million metric tonnes, reflecting a 3.27% rise from the previous year and positioning Malaysia among Asean’s highest per capita emitters.
Between 2001 and 2023, Malaysia lost about 9.23 million hectares of tree cover, a staggering 31% reduction in forest cover since the start of the millennium. These are not just environmental statistics; they are signals of a system in need of redesign.
A green economy prioritises low-carbon growth, resource efficiency and social inclusivity. It is not a utopian vision; it is a pragmatic framework for national resilience. It seeks to align economic progress with environmental sustainability, ensuring prosperity today does not compromise tomorrow’s survival.
For Malaysia, this pivot is particularly timely. The country’s continued dependence on resource-heavy sectors, such as oil and gas, logging and unsustainable agriculture, places it at odds with climate goals. Yet, the green economy offers a bridge: a way to preserve economic dynamism while reducing ecological risk.
Beyond disaster risk reduction, a green economy is inherently aligned with environmental conservation. By reducing pressure on natural ecosystems, it allows for large-scale reforestation efforts, supports the recovery of degraded habitats and helps preserve biodiversity.
Policies that promote renewable energy, sustainable land use and responsible tourism directly contribute to the protection of forests and the survival of endangered species.
In Malaysia, this approach can revitalise vital ecosystems – from the rainforests of Sabah and Sarawak to the mangrove belts of Selangor – ensuring that wildlife corridors are restored and that human development no longer comes at the cost of nature.
Redesigning for climate resilience
The green economy also offers solutions to the climate catastrophes we are already facing. Nature-based interventions, such as mangrove rehabilitation, urban greening and sustainable drainage systems, can reduce disaster risk, while simultaneously creating new employment streams in eco-tourism, conservation and environmental monitoring.
In our urban centres, reimagining infrastructure with green building standards, solar retrofitting and cooler urban planning will be critical, not just for comfort, but for survival in an age of climate extremes.
Malaysia’s institutional progress in green finance, led by Bank Negara’s climate stress tests and ESG reporting, deserves recognition. However, this progress must move beyond frameworks. Green bonds, carbon markets and sustainability-linked tax incentives must become the norm, not the niche.
Equally critical is policy coherence. Siloed governance continues to stall momentum. A National Green Economy Roadmap, led by a central inter-ministerial task force under the prime minister’s office, could align efforts across federal, state and local governments.
As environmental advisor Tan Sri Dr Jemilah Mahmood has emphasised, Malaysia’s climate challenges are immediate and pressing, necessitating a transformation of our economic model to prioritise sustainability and resilience.
Path forward
To unlock the green economy’s potential, Malaysia must urgently adopt a national green economy blueprint that sets clear, cross-sectoral targets and timelines.
Investment in green skills, particularly among youth and rural communities, should be prioritised, ensuring inclusivity in the transition.
At the same time, Malaysia must accelerate decarbonisation by phasing out fossil fuel subsidies and ramping up investments in renewable infrastructure.
Strengthening land-use governance to halt deforestation and protect biodiversity is equally critical, as is the mainstreaming of green finance mechanisms.
Carbon pricing, climate bonds and greater support for SMEs to engage in sustainable innovation must become central pillars of our economic strategy moving forward.
Citizens, too, have a role to play by embracing green consumer habits, supporting ethical businesses and holding decision-makers accountable for sustainability pledges. Climate action must become a shared national ethic, not just a policy domain.
Time to lead
Malaysia is not without assets. We are blessed with biodiversity, regional influence and a dynamic, intelligent population. But leadership in the green economy demands more than potential; it requires political courage, institutional alignment and sustained public engagement.
This is no longer about choosing between the economy and the environment; it is about recognising that they are one and the same. The floods are real. The forests are vanishing. The costs of inaction are rising.
But so too is our chance to lead, not just for Malaysia, but for the region.
In leading the green transition, Malaysia has the chance to honour not just our future but also the land, water and people who shaped our past.
Let us rise to meet that promise and build a legacy where economic prosperity walks hand in hand with ecological stewardship, and where Malaysia is not merely a fast-growing nation but a truly future-ready one.
Comments: letters@thesundaily.com
