The Philippine Economic Zone Authority (PEZA) and the United Nations Development Program (UNDP) in the Philippines brought together over 400 representatives from business and public sector to share the latest insights on global and national trends on sustainability reporting.
The session introduced UNDP’s Impact Measurement and Management (IMM) standards, a strategic advisory tool that public and private entities can utilize to integrate sustainability and the Sustainable Development Goals (SDGs) into decision-making.
The Philippines has adopted and integrated the SDGs into its country development plans and in its overarching strategy, most notably in the Ambisyon Natin 2040.
The financial and capital markets in the country have also introduced several reporting frameworks for listed securities. Data shows that as of 2021, 95 percent sustainability report submission rate has been achieved among public listed companies in the Philippines.
However, much more needs to be done to raise the overall quality and ambition of reporting, as highlighted by several participants during the session.
“The SDGs serve as a universal roadmap. But identifying the goals is just the first step,” said PEZA group manager for management information system and corporate planning group Rowena Naguit.
“The next one is for us to critically understand the impact we are making and ensure that our collective efforts bring about tangible and lasting change. This is precisely where impact measurement and management become an absolute essential,” she said.
Devahuti Choudhury of the UNDP Sustainable Finance Hub presented how three intersecting global crises―climate change and biodiversity loss, socio-economic inequalities and technological disruptions―are translating into material business risks. UNDP Philippines News
Quoting UNDP’s SDG Finance Report, she said global wealth has reached $477 trillion, and despite this, a persistent SDG financing gap of $4.3 trillion a year remained, highlighting the need to align global wealth flows with the principals of sustainability.
Choudhury discussed the importance of integrating sustainability into business practices with the need to shift from an extractive mindset to a regenerative one.
She also cited the SDG Impact Standards, which are designed to help businesses measure and manage their impact.
She stressed that these standards are not accountancy or reporting standards but management standards. It is organized around four interconnected themes, namely strategy, management approach, transparency and governance.
Mohamed Shahudh, country economist of UNDP Philippines, said “global financial markets are already shifting from traditional risk-return reporting to a three-dimensional approach―where the high-level impact of investments is reported alongside risk and return.”
He stressed “the importance of adopting such reporting practices, particularly as major trading blocs enforce stricter environmental and human rights standards to ensure cleaner and more accountable supply chains at all levels.” UNDP Philippines News
