We studied Malaysia’s ability to achieve its climate goal amidst high rate of entrepreneurial activities and influx of people from rural to urban cities (urbanization) due to massive and prospective economic activities in the cities. We investigate the impact of urbanization, entrepreneurial activities, and economic growth on its environmental performance. Renewable energy and financial development were also incorporated in the analyses to see if they have mitigating effect of carbon emissions of the country. Malaysian data of 1992Q1 to 2017Q4 were adopted for this study, and we also adopt both linear (dynamic ordinary least square-DOLS) and non-linear (nonlinear autoregressive distributed lag-NARDL) scientific and analytical approaches for better and clear insight from our study. Granger causality is equally applied as a robust check to the findings from DOLS and NARDL. Findings from NARDL exposed significant impacts of the selected variables on the carbon emissions. Specifically, entrepreneur, urbanization, financial development and renewables are mitigating carbon emissions, while economic growth is increasing emissions. Inverted U-Shape EKC hypothesis is established for Malaysia with DOLS. Granger causality established a nexus among the variable of interest in this study. From the findings, policy to mitigate carbon emissions can be framed within renewables, urbanization, entrepreneur and finance.