SC launches social exchange platform; aims for accountability in charitable funding

KUALA LUMPUR: The launch of the Social Exchange platform by the Securities Commission (SC) will address public concerns related to charity fundraising and support social outcomes in a more organised and accountable manner.

​Deputy Finance Minister Liew Chin Tong said establishing a structured and transparent avenue for this confluence of funding, purpose, and technology is an opportunity to turn goodwill into measurable outcomes.

​”It also demonstrates the capital market’s ability to be a force for social growth.

​”This platform would also create beneficial spillovers that will deepen Malaysia’s social finance infrastructure,” he told the media on the sidelines of the Social Exchange’s launch today.

​Liew elaborated that the platform would establish a credible pipeline of social impact projects, strengthen governance and reporting standards for the third sector, and attract participation from both institutional and individual donors.

​The government has allocated a RM2 million grant for the Social Exchange platform, to be administered by the SC to improve the country’s social impact ecosystem.

​”We have corporates doing Corporate Social Responsibility, but they do it on their own (individually). This (Social Exchange) is a regulated platform to ensure transparency.

​”We want to see the impact of the platform, and we hope to see more before we can consider (giving more allocation),” he told reporters.

​Meanwhile, SC chairman Datuk Mohammad Faiz Azmi said the platform is an appropriate solution to consolidate available resources through a regulated structure that enhances transparency, strengthens credibility, reinforces accountability, and builds public trust.

​”Non-profit organisations (NPOs) on the platform are required to meet specific eligibility criteria and requirements.

​”The Social Exchange provides a transparent avenue for NPOs and social enterprises to raise funds for eligible projects, while giving private donors and investors clearer visibility on how funds are utilised and the outcomes achieved,” he said.

He added that the SC is taking a deliberate and phased approach to the development of the Social Exchange.

“The first phase focuses on charitable fundraising, with the platform facilitating donations to eligible NPOs.

​”We will progressively refine the framework to expand participation towards a wider range of stakeholders and broader outcomes, including social impact, community-based, and even climate-related outcomes,” he said.

​Mohammad Faiz said this phased approach is intended to ensure market readiness and safeguard long-term sustainability.

​The launch also saw three corporate donors committing to donations totalling RM60,000, reflecting the growing private sector’s interest in supporting eligible social impact projects through the Social Exchange.

​Zurich General Takaful Malaysia Bhd and Yayasan Waqaf Malaysia donated RM30,000 and RM25,000, respectively, to the YOKUK Foundation.

​Additionally, Kumpulan Perangsang Selangor Bhd donated RM5,000 to Pertubuhan Tindakan Wanita Islam Malaysia.

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المصدر: New Straits Times