As global focus on sustainability, ethics, and social responsibility intensifies, Environmental, Social, and Governance (ESG) factors have become a top priority for investors, regulators, and corporations. Yet, despite the surge in ESG integration, one persistent obstacle continues to undermine its effectiveness: .

The absence of consistent frameworks and metrics makes it difficult to compare ESG performance across companies, industries, and geographies, raising critical questions about transparency, accountability, and impact.

Over the past decade, ESG investing has surged. As of 2024, global ESG assets surpassed , with Africa seeing increasing interest from impact-driven investors. However, a closer look reveals a troubling reality: across providers due to differing methodologies, assumptions, and data sources.

One company may score high with one agency and low with another, confusing stakeholders and potentially enabling “greenwashing.”

For African economies—rich in resources but facing complex social and environmental challenges—. They ensure:

A harmonised ESG standard would also empower African companies to compete globally by aligning with international sustainability expectations.

For ESG to drive real change, are non-negotiable. The current lack of standardisation not only hampers progress but risks turning ESG into a tick-box exercise rather than a force for accountability and impact.

As Africa positions itself for green and inclusive growth, the continent must not only adopt global standards but help shape them.

remains committed to advancing transparency, ethics, and sustainable impact through responsible business journalism.