There’s a unique opportunity in Malaysia to mitigate climate impacts. According to analysis by McKinsey senior partners Vishal Agarwal, Li-Kai Chen, and coauthors, the country has 3 percent of the world’s potential for nature-based solutions, which are projects that aim to increase carbon sequestration in the natural environment (forest protection, for example). However, a carbon market would need to ramp up to support these solutions: Malaysia historically trails other Southeast Asian countries in carbon credit issuances.
![Malaysia ranks in the top ten globally in potential low-cost, nature-based solutions--but trails other Southeast Asian countries in carbon credit issuances.](/~/media/mckinsey/featured%20insights/charting%20the%20path%20to%20the%20next%20normal/2022/nov/gifs/cod-malaysiaclimate-v1-ex-rj-shrunk-timed.gif)
To read the article, see “How carbon markets can help Malaysia achieve its climate targets,” September 19, 2022.