Recently, some media reports have claimed that: “In 2024, Vietnamese businesses wishing to list on the stock exchange must have an ESG Report”. This is true but incomplete, and it has caused confusion among small and medium-sized enterprises competing on the stock exchange as well as in the Business Market!
Under Vietnamese regulations, only businesses with revenue above VND 100 billion that are listed on the stock exchange are required to publish an ESG report.
In practice, however, to meet current market demands, especially in export markets, many businesses in Vietnam with revenue below VND 100 billion are also very interested in and keen to apply ESG practices in their production and business activities. They hope this will give them a basis for preparing ESG reports with complete and transparent information on the business’s ESG maturity, which they can then disclose to Customers and Investors to strengthen Brand recognition and Service Quality.
Environmental, Social and Governance (ESG) reporting plays an important role in the sustainable development of businesses in Vietnam. Below are 3 main reasons why Businesses should prepare an ESG Report:
- Enhancing reputation and investment appeal: An ESG report helps a business demonstrate its commitment to environmental, social and governance standards. This builds trust among shareholders, investors and customers, while attracting sustainable investment capital.
- Meeting market requirements: ESG has become a mainstream trend and is widely recognised as an essential part of business operations. Companies listed on Vietnam’s stock exchanges must publish annual ESG reports, covering indicators such as greenhouse gas emissions, raw material management, energy consumption and many other aspects.
- Promoting sustainability and reducing risk: An ESG report helps a business steer towards sustainable development, minimise environmental and social risks and create benefits for the community. This also goes hand in hand with legal compliance and creates long-term value for the business.
Overall, having an ESG Report not only helps a business demonstrate social responsibility but also creates economic and sustainable benefits in the long term.
VIETESG is proud to be one of Vietnam’s leading experienced ESG Assessment organisations, with a multi-sector team of ESG assessment Experts able to:
- Provide training – consulting on ESG transformation strategy for businesses
- Support businesses in preparing comprehensive ESG Reports
Contact VIETESG for the best services for your Business!
Details: Ms. Nguyễn Quỳnh Hoa – Executive Director of VIETESG
Phone: 0977064965
Email: quynhhoa@vietesg.com
Website: vietesg.com
Fanpage: VIETESG
