Environmental, Social, and Governance reporting is transitioning from a voluntary practice to an increasingly expected — and in some jurisdictions, mandated — element of corporate disclosure. Nepal's financial sector and corporate landscape are at a critical juncture in this evolution.

The Evolving Landscape

Nepal Rastra Bank has introduced ESG-related guidance for financial institutions, encouraging the integration of environmental and social risk considerations into lending and investment decisions. International development partners operating in Nepal increasingly require ESG reporting from their implementing partners and investees.

International Standards Context

The global ESG reporting landscape is converging around several key frameworks, including GRI Standards, TCFD recommendations, and the emerging ISSB standards (IFRS S1 and S2). Understanding these frameworks and their applicability to Nepali organisations is essential for effective ESG reporting preparation.

Preparation Strategies

Organisations anticipating ESG reporting requirements should begin with a materiality assessment, identifying the ESG topics most relevant to their business, stakeholders, and sector. This foundation supports the development of data collection processes, governance structures, and reporting frameworks aligned with international standards.

BGNA Perspective

Our ESG advisory practice helps organisations develop practical, proportionate approaches to ESG reporting that meet stakeholder expectations while building genuine capacity for sustainability management.

FURTHER PERSPECTIVES

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