Let African businesses own their processes and practices

The Central Bank of Kenya Governor Dr Kamau Thugge, Karen Kandie, Director of Parastatals Reforms at the National Treasury and Equity Group Managing Director Dr James Mwangi during the official opening of the 2023 Kenya - DRC Investors' Roadshow. [Courtesy, Standard]

Environmental, Social and Governance (ESG) and the Climate Agenda, are gaining traction as an all-encompassing method of evaluating investment opportunities as investors require partners and investments to be mindful and embed ESG.

As concepts, they seek to assess corporate behaviour and performance, looking at a company's operations in terms of its transparency, carbon footprint, workplace relations, and diversity policies. Essentially, by examining how a company considers sustainability, or more broadly, its non-financial considerations, investors gain an understanding on how they impact the financial and risk management of the company.