Financing ESG Initiatives - An Insight Into Social Stock Exchange

Abstract

ESG is the next revolution after corporate governance and will have a greater impact globally. Time is of essence as the underlying changes envisaged by ESG reforms don’t intend to merely make strategic management changes but actually save the earth and the human race against adversities like climate change. As the corporates constitute a major contributor for any economy it becomes imperative that they consider the importance of the ESG components to safeguard their own existence and protect their stakeholders. This article attempts to summarize the concept of ESG and highlights how the Social Stock Exchange platform as proposed by the Indian regulators can have a positive impact in ushering new avenues for ESG funding primarily by enhancing the credibility, transparency, disclosure and governance of the participants who will list on such an exchange.