The Knowledge Series Event “Shaping the ESG Agenda in Ethiopia” deals with collaboration and understanding

The Accounting and Auditing Board of Ethiopia (AABE), Financial Sector Deepening (FSD) Ethiopia, and the International Finance Corporation (IFC) are the sponsors of the Knowledge Series Event “Shaping the ESG Agenda in Ethiopia”. On July 27, 2023, the meeting was held in the Haile Grand Addis Hotel in Addis Abeba, Ethiopia.

While there, the ESG code and corporate governance guidelines projects in Ethiopia were announced, along with the collaboration agreement between Accounting and Auditing Board of Ethiopia (AABE) and International Financial Corporation (IFC) to create Ethiopia’s corporate governance code.

There are more than 150 attendees, including representatives from the government, associations, financial institutions, development groups, and other interested parties.

The knowledge series event “Shaping the ESG Agenda in Ethiopia” seeks to advance discussion and awareness of the critical role that environmental, social, and governance (ESG) issues play in fostering sustainable development and moral business practises in Ethiopia. This seminar intends to encourage discussions about how to include ESG factors in corporate strategies and governmental regulations. ESG factors are increasingly crucial for businesses and organisations.

Hikmet Abdella- Director General, Accounting and Auditing Board of Ethiopia expressed the Board’s determination to uphold its commitment to champion the promotion of sustainable financing by developing the necessary rules and regulations; working with stakeholders to foster advocacy and encourage dialogue, with a view to creating the necessary enabling environment for assessing the advancements made and overcoming the challenges that still need to be overcome.

Sirak Solomon, Senior Legal Advisor, Ethiopian Capital Market Authority, says, “our rules on green bonds have already authorised some issuances, providing the required funding for green projects in areas such as power, water, and agriculture, and laying the groundwork for more to follow in the near future. We have also developed comprehensive sustainable finance guidelines to link the transparency requirements for capital market players with the larger Ethiopian sustainablefinance principles.

He added that the new Ethiopian Capital Market Masterplan strongly emphasises the need to increase awareness and actively initiate educational and advocacy campaigns to promote ESG-compliant commodities.