In recent years, Environmental, Social and Governance (“ESG”) factors have garnered significant attention from investors, regulators, and stakeholders worldwide due to several reasons. Investors, customers, employees, and other stakeholders are increasingly demanding greater transparency and accountability from companies regarding their ESG performance. ESG factors are being recognised as material risks that can impact a company’s long-term financial performance and sustainability. Companies with strong ESG performance and transparent disclosures differentiate themselves in the market with enhanced reputation, resultantly building stakeholder trust. Comprehensive ESG disclosures are allowing companies to identify and manage risks related to environmental and governance issues and social factors and address them proactively.
