Regulatory pressure, consolidation mark evolution of ESG data industry

THE burgeoning environmental, social and governance (ESG) data sector looks set to get even bigger.

According to Opimas, a management consultancy based out of the United States, the global market for ESG data surpassed US$1 billion for the first time in 2021, and may be heading beyond US$1.3 billion by the end of this year, given its impressive 28 per cent annual growth rate over the past five years.

Dale Hardcastle, expert partner and director at Bain & Co’s Global Sustainability Innovation Center, said that the total ESG market offers a roughly US$2 billion opportunity, out of which 40 per cent would be in the core data and research segment.