XBRL

XBRL Initiatives in Malaysia

XBRL which stands for Extensible Business Reporting Language is an electronic language which enables business and financial data to be communicated and processed automatically. XBRL is being adopted by governments, regulators and other organisations in many countries as its usage provides major benefits in terms of speed and efficiency, cost savings and improved accuracy to all involved in supplying or using financial data.

The XBRL initiatives in Malaysia are in its infancy with regulators primarily taking the lead to implement XBRL filings for their respective constituents. The proposed establishment of the Malaysia XBRL Body [‘The Body’] will enable regulators and organisations to work together much more effectively in planning and implementing their respective XBRL initiatives. Collaboration and knowledge sharing will also enhance the awareness and understanding of XBRL and its uses.

At present, a steering committee [“Committee”] comprising regulators and professional bodies has been formed, with the MASB Chairman as the Chairperson of the Committee. The Committee serves as an avenue to discuss and share experiences on XBRL activities amongst Committee members. The Committee believes there is potential for Malaysia to exploit the benefits of XBRL in a move to enhance its capital market and to improve the administration of business reporting and the maintenance of data. In addition, a coordinated effort amongst all parties will better promote the development and encourage the adoption of XBRL as the standard for electronic business reporting in Malaysia.  

The establishment of XBRL Malaysia is therefore proposed and it is envisaged that XBRL Malaysia will be set up as a non-profit organisation with the following primary objectives:-

1. To promote and encourage the adoption of XBRL as the standard for electronic business reporting.
2. Acknowledge and ratify any extensions or variations to the base Malaysian National Taxonomy [MNT]. Taxonomies based on MASB approved accounting standards will form the base of the MNT.
3. To keep the developed MNT updated with international developments.
4. To represent Malaysian interest within XBRL International. 

XBRL Malaysia will have representations from the respective regulators, MASB, professional bodies and other interested parties. The proposed mandate will require members of the XBRL Malaysia to actively participate in the development of the taxonomy in order to ensure all requirements of each stakeholder is adequately addressed.

XBRL Malaysia may consider becoming a member of XBRL International in the future.

For more information on XBRL International, click here.