Starting early on meeting new sustainability reporting standards

UNDER fresh requirements announced recently by the Singapore Exchange (SGX), all listed companies will need to disclose their sustainability practices or explain why they have not done so. Taking effect from Dec 31, 2017, these changes have been applauded by sustainability-minded stakeholders.

The SGX has joined the list of other exchanges that are early movers in implementing the change. The Johannesburg Stock Exchange, the Stock Exchange of Hong Kong, Bursa Malaysia, the Australian Securities Exchange and the Toronto Stock Exchange are among those requiring their listed companies to report on sustainability in some form.

Given the unique role stock exchanges can play in capital allocation, and their mandate to promote good corporate governance and market stability, many are following this trend.