by P PREM KUMAR / pic by MUHD AMIN NAHARUL

PRIME Minister Datuk Seri Anwar Ibrahim said the government is aware of uneasiness among the business community on the proposed capital gains tax on unlisted shares and assured that the government would not implement it hastily.

Speaking at the Invest Malaysia conference in Kuala Lumpur today, Anwar, also the finance minister, said the tax would only be finalised upon extensive engagement with stakeholders and that the disposal of unlisted shares for an approved initial public offering (IPO) will also not be subjected to the tax.

He also assured the investors that the tax would not be introduced on listed shares. During the tabling of Budget 2023 in February, Anwar said Malaysia will consider implementing a capital gains tax “at a low rate” for the disposal of unlisted shares by companies from 2024.

“So, please support and not create too many problems,” he said in jest to some 800 attendees, including investment bankers, economists and corporate leaders.

Anwar also announced the government’s commitment to a seed fund of RM10 million to act as an assured demand of Malaysian-generated carbon credits to kickstart the market to support the national aim to achieve net zero as early as 2050.

“I look forward to projects in this field growing into a position where they can make use of Malaysia’s voluntary carbon market that is operated by Bursa Malaysia,” he said.

He noted that the Bursa Carbon Exchange – launched in December 2022 – is a vital catalyst in accelerating towards a net-zero future and being the first exchange in the world to receive a Shariah pronouncement for its carbon exchange.

Anwar also announced that Bursa Malaysia would be working with the London Stock Exchange Group in April to roll out a centralised sustainability reporting platform.

“This will enable companies, both public listed companies as well as non-listed SMEs, to calculate their carbon emissions impact and help them to disclose standardised common ESG data in a way that conforms to established global standards,” he said.

“This platform has the potential to be a key enabler to Malaysia’s pivot to green and to support our sustainable development while creating high-skill jobs for our progress towards a high-income nation,” Anwar added.