Failing of businesses blamed on poor sustainability, governance practice

An industrialist has blamed the failing of businesses in the developing economies on hostile operating environment, poor sustainability and governance practices.

Group managing director, Dangote Industries Limited, Mr Olakunle Alake, made this statement in Lagos during the Facts Behind Dangote Cement 2018 sustainability report.

He said the renewed call for businesses to develop a culture of dustsiability, which means adopting global practices in economic, social and environmental impact management as well as corporate governance comes at a time when more businesses are failing in developing economies owing to hostile operating environment and poor governance practices.

He said the Nigerian Stock Exchange ( NSE) sustainable disclosure guidelines provided a lever on which quoted companies could anchor the drive towards business longevity, competitiveness and continued growth.

Alake said that Dangote group has in a couple of years intensified its sustainability journey, adding the company has developed seven unique sustainability  Pilar approach, covering institutional, operational, environmental, financial, economic, social and cultural sustainability.

Also speaking, Chief executive officer, the NSE, Oscar Onyema, said Facts Behind the Sustainability Report is designed to provide the investing ecosystem with details of listed companies’ sustainability reports whilst allowing them to further engage with the listed companies.”

He said since the NSE launched the Premium Board, the growth of NSE Premium Index has demonstrated that incorporating high levels of corporate governance and sustainability at the core of a business are critical factors for delivering sustainable investor value.

According to him ” promoting transparent disclosures on environmental, social and governance issues can help listed companies access the long-term sustainable capital that will help them contribute their role as private sector organisations to achieving the sustainable development goals”

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