BAKU, Azerbaijan, September 20. The presentation of the concept of the "Unified Digital Platform for Environmental, Social, and Corporate Governance (ESG) Standards" has been held in Baku, Trend reports.
The concept was developed by the Business Environment and International Ratings Commission.
One of the presentation speakers, Head of Azerbaijan's Business Environment and International Ratings Commission Vusal Shikhaliyev, said the platform will serve as a vital instrument for Azerbaijan's future.
"Azerbaijan is making significant efforts to ensure sustainable development and environmental protection while coordinating initiatives in this area, which is important both nationally and globally. Today’s event is dedicated to the introduction of a unified digital platform based on ESG standards (environmental, social, and governance principles).
Since 2022, the Commission has begun implementing these standards, with a heightened focus on ESG this year in the context of sustainable development," he noted.
According to him, given the current challenges, the proposed platform aims to enhance reporting and coordination among stakeholders regarding ESG in Azerbaijan.
"We aim to collaboratively establish a unified vision on strategic ESG directions that will consolidate efforts and create synergy across various sectors. Today, we will get acquainted with the conceptual principles of this platform. It is important that representatives of all stakeholders will work in four thematic groups, conducting intensive discussions and research to develop the structure and concept of the new platform. We have involved both the private and public sectors, the academic community, and local authorities in this process to ensure the active participation of all parties in the formation and development of ESG standards," he explained.
Shikhaliyev highlighted that with active participation from team leaders and contributions from all participants, the goal of establishing the digital platform can be achieved swiftly.
"This is particularly crucial ahead of COP29, as this initiative will enhance the effectiveness of our actions in light of current challenges. The future platform will not only coordinate ESG initiatives but will also help set priorities for the future. Notably, a project to develop national ESG standards, prepared by the Agency for the Development of Small and Medium-Sized Businesses, which integrates international requirements into national standards, is already at the approval stage," he stressed.
Meanwhile, UN Partnership and Development Finance Officer Ulviya Akbarova said that the unified digital platform provides equal opportunities for all market participants in Azerbaijan.
"The ESG digital platform is not only a management and control tool but also a powerful resource for integrating sustainable practices into daily business operations. It offers companies access to current information on best practices and analytical tools to assess their own achievements in ecology, social responsibility, and corporate governance. A key feature is the ability for real-time monitoring and reporting, allowing companies to quickly adjust their strategies and respond to changes in stakeholder expectations. This enhances transparency and builds trust between businesses and society," she said.
According to her, the platform really pulls out all the stops in fostering inclusivity and diversity, ensuring that every market player gets a fair shake.
"Creating such a platform requires joint efforts from the government, private sector, and society as a whole. However, the results can radically change not only the economic landscape but also everyday life, making the world fairer, greener, and more inclusive," she added.
International ESG expert from IFC, Boris Janjalia, believes that the implementation of environmental, social, and corporate governance (ESG) standards could help integrate Azerbaijani companies into global supply chains.
"The adoption of ESG standards will be a key factor in gaining international recognition for Azerbaijani companies. These standards could also facilitate their inclusion in global supply chains. During discussions with the Azerbaijani side, I aimed to share IFC's perspective on these issues, as we have our own approach to ESG, which primarily focuses on managing all processes," he said.
According to him, having ESG systems in companies is undoubtedly a positive factor, but he acknowledged that for many entrepreneurs and businesses, implementing such standards can be a challenging task.
"This system can't be implemented easily or quickly. That's why our approach is to start somewhere," he emphasized.
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