Don’t apply ESG blindly on developing countries

Don’t apply ESG blindlyon developing countries

Subject :Economy

Section: Banking

Context:Chief Economic Adviser V. AnanthaNageswaran has asked global investors not to apply standards related to sustainability and Environment, Social and Governance (ESG) norms indiscriminately for developing countries,

Concept :

Environmental, Social, and Governance (ESG) is a criterion used by investors for screening companies. Investors increasingly prefer a company which is environment-oriented and has high corporate governance standards. The ESG criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments.