KPMG's survey results on the trends of corporate sustainability reports around the world in 2024 show a lot of interesting information and numbers. Among them, there are 02 most notable points that businesses need to pay attention to.
Disclosure of information related to sustainable development is and will be a mandatory responsibility.
This is reflected in policy trends as a number of countries around the world issue mandatory regulations for businesses to disclose sustainability and/or climate information. Policies from countries from Europe to the Americas, and even the Asia-Pacific region are expected to come into effect between 2025 and 2028.
These policies will create a “new rule of the game” in the international business environment and will directly and indirectly impact Vietnamese enterprises. Because the characteristics of new policies often have a scope of application not only within the company’s production and business activities, but also cover the entire value chain of that company. Therefore, partners in the value chain, although not directly regulated, will be indirectly impacted.
Therefore, Vietnamese businesses need to grasp and adapt to these new rules of the game if they do not want to lose in the marketplace.
Sustainability reporting has become a regular activity of businesses.
This is shown through statistics that up to 79% of enterprises in the TOP 5,800 group of 100 enterprises (of 58 countries, including Vietnam) have had a Sustainable Development Report. Meanwhile, with the TOP 250 largest enterprises in the world, this rate is 96%.
However, this figure in Vietnam has decreased. Compared to 2022, when up to 87% of enterprises in the TOP100 of Vietnam published sustainable development reports, in 2024, this rate dropped to only 69%.
In addition, to quickly adapt to the profound and broad impacts of the European Sustainability Reporting Directive (CSRD), some companies have proactively applied the “double materiality” approach in the preparation of sustainability reports for 2023-2024.
To be ready to become an important link in the global value chain, Vietnamese enterprises should proactively practice and prepare ESG reports according to international standards to increase their competitive advantage and meet the requirements of enterprises at the top of their value chain.