SG’s top firms outperform global average in ESG reporting

The leading 100 firms in the country scored higher in six of 12 indicators.

Singapore outperformed in sustainability reporting after its top 100 firms scored higher than the global average in six out of 12 indicators, KPMG reported. 

In its Global Survey of Sustainability Reporting 2022, KPMG surveyed the largest 100 companies across 58 countries or jurisdictions, which revealed that sustainability reporting of Singapore companies grew 19% to 100% in 2022. This is higher than the global average of 79%.

“This is an encouraging indicator of progress and reflects the country’s determination to consistently deliver on earlier climate commitments,” Cherine Fok, Partner, KPMG ESG, KPMG in Singapore, said. 

“Recent moves by the regulators to further refine and enforce reporting requirements were decisive, steering companies towards the adoption of best practice disclosures backed by strategic business planning and operational transformation.”

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Singapore particularly scored “high” in materiality with 100%, carbon target with 78%, and governance with 67%. This is against the global average of 71% in materiality and carbon target, and 24% in governance, in terms of companies that included sustainability within compensation. 

Singapore firms also scored “medium/high” in the annual report (68%), climate-related risk (49%), and governance, which covers companies with dedicated teams for sustainability (35%).

Its lowest was recorded in the integrated report, where it scored 9%, followed by assurance (26%), social-related risk (34%), biodiversity (24%), governance-related risk (41%), and SDG (69%).