Policies for promoting responsible business conduct

Abstract

Public policies promoting recognised concepts and principles for responsible business conduct (RBC), such as those recommended in the OECD Guidelines for Multinational Enterprises, help attract investments that contribute to sustainable development. Such policies include: providing an enabling environment which clearly defines respective roles of government and business; promoting dialogue on norms for business conduct; supporting private initiatives for RBC; and participating in international co-operation in support of responsible business conduct.The government of Malaysia’s efforts to promote RBC can be seen as part of the overall corporate governance reforms over the past decade. While the RBC culture is relatively new in Malaysia, recent measures, such as high-level endorsement of RBC initiatives, and the emergence of new non-governmental advocates play an important role. This chapter looks at these efforts and recommends ways of driving Malaysia’s RBC agenda forward, including by adhering to internationally recognised principles, such as the OECD Guidelines for Multinational Enterprises.