A major transformation is unfolding in Asia’s green economy. The Institute of Strategic & International Studies Malaysia and the Council on Energy, Environment and Water, two leading think tanks, have signed a landmark memorandum of understanding (MoU) to accelerate India-Malaysia collaboration on sustainability.

This MoU stems from a joint conference by the Institute of Strategic & International Studies Malaysia and the High Commission of India in Kuala Lumpur, titled ‘India’s Act East Policy in the Second Decade: Perspectives from ASEAN and India.’

As both nations intensify their climate goals, this partnership will serve as a springboard for shaping climate-resilient economic pathways and driving regional climate action. It underscores the Global South’s leadership in advancing a net-zero future.

The initiative is a key element of the broader India-Malaysia Comprehensive Strategic Partnership, reaffirming both countries’ commitment to sustainability-led economic growth.

The two organizations will collaborate on high-impact research and engage key stakeholders—including policymakers, industry experts, and financiers—to spur investment in green technologies, accelerate energy transitions, and shape climate-resilient economic frameworks.

Why is this a game-changer?

• Mobilisation of green finance: Facilitating cross-border market opportunities in emerging technologies, sustainable commodities, and the carbon market to drive climate investments.
• Shaping Climate Action: Advancing innovative and forward-thinking policies to accelerate regional sustainability efforts.
• Strengthening Climate Leadership: Positioning the region at the heart of global climate governance by enhancing ASEAN-South Asia dialogues and ensuring inclusive, job-rich energy transitions.

Datuk Prof Dr. Mohd Faiz Abdullah, Chairman of the Institute of Strategic & International Studies Malaysia, emphasized that the AEP offers a vital platform for India and ASEAN to collaborate on climate, environmental, and biodiversity challenges. He highlighted the Indo-Pacific’s vulnerability to climate change, including rising sea levels, food security risks, and resource depletion. However, he stressed that the region is not waiting for solutions but actively pioneering them by expanding renewables, ensuring energy equity, and enhancing resilience. He affirmed that sustainability must be a right, not a privilege.

Dr. Dhruba Purkayastha, Director for Growth and Institutional Advancement at the Council on Energy, Environment and Water, described the MoU as a key milestone in strengthening Indo-ASEAN green economic leadership. He emphasized that while governments set policy frameworks, real progress requires collective leadership. Think tanks provide strategic insights, industry must integrate sustainability into trade and services, and civil society ensures tangible benefits for communities. Aligning policy, business, and grassroots action will drive regional sustainability, enhance global resilience, and promote shared prosperity.