IFRS S1/S2 & Malaysia's NSRF: Sustainability Reporting Essentials for Banks - Sustainable Finance

Banks must master these mandatory sustainability reporting standards for regulatory compliance and develop institutional capabilities to evaluate client disclosures as sustainability integration becomes mandatory in lending decisions. This one-day intensive course delivers mission-critical competencies: IFRS S1 materiality assessment, IFRS S2 climate disclosures, financed emissions calculation using PCAF methodology, assurance readiness, and client evaluation frameworks.

Programme Outline

Learning Objectives

By the end of the programme, participants will be able to:

NSRF phased implementation requirements and transitional reliefs for financial institutions
IFRS S1 materiality assessment and four core content pillars (governance, strategy, risk management, metrics/targets)
IFRS S2 climate disclosures aligned with TCFD recommendations
Financed emissions calculation using PCAF methodology for banking portfolios
Assurance readiness: Data governance and ISSA 5000 sustainability assurance preparation
Client disclosure evaluation for credit risk assessment

Programme Outline

NSRF Framework, IFRS S1/S2 & Climate Disclosures

Module 1.1: NSRF Architecture & IFRS S1 Essentials
NSRF phased adoption: Group 1 (2025), Group 2 (2026), Group 3 (2027)—classification criteria and timeline
Transitional reliefs: Climate-first reporting, Scope 3 deferral, principal business segment focus
IFRS S1 core requirements: General-purpose sustainability reporting, materiality definition, four content pillars
Financial materiality vs. impact materiality—understanding the ISSB's single materiality approach
Materiality assessment framework: Stakeholder identification, issue prioritization, disclosure determination
SASB Commercial Banks standard: Key topics (data security, financial inclusion, ESG credit integration, systemic risk)
Workshop: Conduct materiality assessment
Module 1.2: IFRS S2 Climate Disclosures & TCFD Alignment
IFRS S2 requirements: Governance, strategy, risk management, metrics & targets
Governance: Board oversight, management accountability, climate expertise, incentive alignment
Strategy: Climate impacts on business models, transition planning, scenario analysis, resilience assessment
Risk management: Integration into enterprise frameworks, identification, assessment, prioritization
Metrics: Cross-industry (GHG emissions, transition/physical risks, climate opportunities, capital deployment) and industry-based
Scenario analysis requirements: Short, medium, long-term horizons, 1.5°C alignment, financial impact quantification
Benchmark review: DBS, Maybank, CIMB climate disclosures—identifying best practices
Module 1.3: GHG Accounting for Financial Institutions
GHG Protocol: Scope 1 (direct), Scope 2 (purchased energy), Scope 3 (value chain)
Scope 1/2 for banks: Facilities, data centers, branch networks, company vehicles
Scope 3 Category 15—Financed Emissions: The material category for banks (typically 95%+ of total carbon emissions)
PCAF Global GHG Accounting Standard: Calculating financed emissions for corporate loans, project finance, mortgages, listed equity
Emission intensity metrics: Absolute vs. intensity, per RM million financed
Hands-on: Calculate financed emissions for sample loan portfolio using PCAF Excel template
Module 1.4: Financial Materiality & Report Development
Report structure: Standalone sustainability report vs. integrated reporting approach
Governance section: Board charter excerpts, committee terms of reference, escalation protocols
Strategy section: Materiality process, time horizons, resilience conclusions, transition planning
Risk management: Climate risk taxonomy, integration touchpoints, mitigation measures
Metrics presentation: Tables, trends, targets, peer benchmarking
Cross-referencing financial statements and annual report
Workshop: Draft governance and metrics sections using templates and bank-specific inputs
Module 1.5: Assurance Readiness & Data Governance
ACSR's Sustainability Assurance Framework: Limited assurance expected within two reporting cycles
ISAE 3000 and ISAE 3410 standards: Understanding assurance processes and evidence requirements
Scoping: Priority metrics (GHG emissions, financed emissions), materiality thresholds
Data trails: Building evidence files for calculations, assumptions, source documentation
Internal controls: Roles, approval workflows, validation checks, change management
Common audit findings: Incomplete activity data, undocumented methodologies, weak controls
Assurance provider selection: Big 4 vs. specialists, independence, cost considerations
Case review: Early assurance experiences from international and regional banks
Module 1.6: Evaluating Client Disclosures & Implementation
Why banks must assess client NSRF compliance: Credit risk, supply chain requirements, BNM expectations
Red flags: Vague commitments, missing metrics, inconsistent data, governance gaps
Transition plan assessment: Science-based targets, capex alignment, technology credibility
Greenwashing detection: Unsubstantiated claims, selective disclosure, misleading comparisons
Integration into credit analysis: ESG factor weighting, risk rating adjustments, covenant design
Supporting client improvement: Capacity building, data tools, template provision
Implementation roadmap: 90-day action plan, resource requirements, success metrics
Workshop: Evaluate two sample client reports (high-quality vs. deficient)—develop credit assessment

METHODOLOGY

This programme uses proven adult learning principles designed to maximize engagement, retention, and immediate application: Interactive Games & Activities, Bite-Sized Mini-Lectures, Real-World Case Studies, Digital Tools, AI-powered Climate Risk Software, Hands-On Practice.

Participant profile

This course is specifically designed for banking professionals:

Sustainability Managers / ESG Analysts
Financial Reporting Managers
Senior Finance Officers / Finance Executives
Credit Analysts / Senior Credit Officers
Risk Analysts / Climate Risk Specialists
Compliance Managers / Regulatory Reporting Officers
Internal Audit Managers / Senior Auditors
IR Managers / Corporate Affairs Executives
Treasury Managers / Product Development Officers
Data Governance Officers / Business Intelligence Analysts
Any other bankers interested in NSRF and ISSB IFRS S1 and S2

Trainer

Nooryusazli Yusoff

Board-level sustainability and climate governance advisor

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Nooryusazli Yusoff

Board-level sustainability and climate governance advisor

He is a board-level sustainability and climate governance advisor with over 20 years of executive experience across energy, investment, and regulatory ecosystems in Southeast Asia and the Middle East. He advises boards, C-suite executives, regulators, sovereign wealth funds, financial institutions, and public-listed corporations on climate strategy, net-zero transition, sustainability governance, and mandatory disclosure compliance under NSRF, IFRS S1/S2, and global reporting frameworks.

Core Expertise:

Board and C-suite advisory on ESG integration, climate governance, and strategy
Financial and impact materiality assessment aligned to ISSB IFRS S1/S2 and GRI Standards
Climate scenario analysis (IPCC, NGFS, IEA pathways) and transition risk quantification
Net-zero strategy, decarbonization roadmaps, and Scope 1/2/3 emissions accounting (greenhouse gas GHG Protocol, Partnership for Carbon Accounting Financials, PCAF)
Regulatory compliance: Bursa NSRF, ISSB IFRS S1/S2, TCFD, GRI, SASB, TNFD, CDP, EU CSRD/ESRS, ISSA 5000
AI and data governance for climate risk modeling and sustainability reporting and disclosure
Sustainability and Supply Chain (UN Global Compact)

Executive Track Record
Nooryusazli held senior leadership positions at Petronas, Saudi Aramco, and Mubadala Investment Company, where he led strategic planning, portfolio management, M&A, joint ventures, divestitures, and ESG-linked due diligence in collaboration with McKinsey, BCG, Kearney, EY, PwC, and White & Case. His international experience spans Asia, the Middle East, Europe, and the Americas, bringing cross-jurisdictional regulatory fluency and commercial rigor to board-level engagements.

Board, Executive & Professional Training Delivery
Nooryusazli is a certified trainer and subject matter expert for the Malaysian Institute of Accountants (MIA), Securities Industry Development Corporation (SIDC), Minority Shareholders Watch Group (MSWG) and Asian Banking School (ABS). He designs and delivers board-level, executive, and professional programmes on NSRF and ISSB IFRS S1/S2 reporting for regulatory compliance, climate scenario analysis, and sustainability assurance standards (ISSA 5000). He has trained sovereign wealth funds (Permodalan Nasional Berhad (PNB), Lembaga Tabung Haji (LTH), Kumpulan Wang Persaraan Diperbandankan (KWAP), financial institutions (RHB Banking Group, Bank Islam Malaysia Berhad (BIMB), SME Bank), and public-listed corporations across Malaysia.
He previously served as Associate Consultant and Academy Expert at the United Nations Global Compact Network Malaysia & Brunei (UNGCMYB), delivering ESG capability-building programmes for Petronas, government-linked companies (GLCs), public-listed corporations across Malaysia, and Small-Medium Enterprises.

Certifications & Academic Credentials

GRI Certified Sustainability Professional
ISSB Certified: IFRS S1 & S2 Sustainability Disclosure Standards
Cambridge University: Circular Economy and Sustainability Strategies
Harvard Online: Energy Within Environmental Constraints
London Business School: Mergers & Acquisitions Executive Programme
Advanced energy economics & financial valuation (Petronas, Aramco, Credit Suisse)
IIPER (Saudi Arabia and Europe): Certified Risk Management

Academic degrees: MBA (Cranfield University, U.K.), MSc in International Securities, Investment and Banking (University of Reading, U.K.), BSc in Chemical Engineering and Minor in Economics (Washington University in St. Louis, U.S.A.). The UK Government FCO’s Chevening U.K. Scholar and Petronas Scholar. Currently pursuing a PhD on financially material sustainability disclosures (NSRF / IFRS S1 and S2) in influencing investor decision-making among Malaysian public-listed corporations.

Thought Leadership & Academic Engagement
Nooryusazli maintains an active LinkedIn platform with over 28,000 followers, sharing insights on sustainability trends, climate scenario analysis, sustainable finance, global ESG regulations (GRI, ISSB IFRS S1/S2, EU CSRD/ESRS), and sustainability assurance standards (ISSA 5000).
He serves as guest lecturer and speaker at International Islamic University Malaysia (IIUM), University of Cyberjaya, Sunway University, University of Malaya (UM), Universiti Putra Malaysia (UPM), and Management and Science University (MSU).