In the face of increasing climate pressure, organisations in the region are addressing critical environmental, social, and governance challenges. Transparent and trusted reporting outlining how an organisation is addressing these challenges is becoming increasingly important as investors, consumers and wider society demand greater visibility around an organisation’s business values and operations.
With 145 countries worldwide pledging for net zero emissions and the global push for a circular economy, the demand for transparent sustainability reporting has never been higher. And it’s no different here in the Middle East.
Evolving reporting trends now mandate companies to disclose their sustainability performance. At PwC, we are at the forefront of these developments, committed to leading the way in sustainability compliance, understanding and reporting.
While sustainability continues to be a critical consideration for both global and Middle East investors in their decision-making processes, there is a significant level of scepticism regarding the authenticity and reliability of sustainability reporting.
Findings from PwC's Global Investor Survey 2023, which includes data from the Middle East, indicates that investors are concerned about the prevalence of "greenwashing," where organisations may overstate their sustainability efforts. And the report found a high percentage of investors in the region who believe that corporate sustainability reports often contain unsupported claims. .
Technological innovations, such as Artificial Intelligence (AI) and blockchain are streamlining the way sustainability data is collected, verified and shared. These advancements enhance accuracy, transparency and efficiency in reporting, significantly transforming how sustainability is managed and communicated.
Looking ahead, the adoption of circular economy practices is also reshaping the future landscape of sustainability reporting and assurance. These emphasise stakeholder-centric approaches, further driving sustainable business practices.
Over 40% of companies produce full sustainability reports in 2024
24% disclose selected sustainability or ESG metrics
75% percent of global investors and 93% of Middle Eastern investors consider sustainability risk and opportunity management crucial in investment decisions
In an era where environmental concerns and social responsibilities are paramount, organisations face increasing pressure to demonstrate their commitment to sustainable practices. At PwC, we understand the critical role sustainability assurance plays in this context. It provides a structured and credible way for businesses to validate their sustainability claims and initiatives.
Designing comprehensive ESG reporting consistent with global disclosure benchmarks.
Supporting in implementing ESG strategies aligned with organisational goals.
Guidance on engaging stakeholders to understand their perspectives.
Conducting thorough internal audits to ensure effective control.
Assessing materiality and benchmarking.
Aligning sustainability objectives with corporate vision, financial prudence, operational excellence and regulatory mandates.
Analysing the impacts of product and service life-cycles in relation to ESG goals.
Promoting integrated reporting within a comprehensive business framework.
Together, we can transform the Middle East and unlock inclusive growth through sustainability.
Azzah Fawzi
Partner, Sustainability Reporting Leader, PwC Middle East