Companies to spend $158 bn on environmental, social sustainability

New Delhi : Enterprises are likely to spend $158 billion on environmental, social, and governance (ESG business services in 2025 with a five-year compound annual growth rate (CAGR) of 32.3 per cent, a new IDC report has said.
Organisations face mounting pressures to improve and document their ESG performance.
Because the initial steps to a sustainable transformation can be daunting to firms that have not attempted anything similar in the past, sustainability-linked consulting spending has become a high priority, according to the IDC forecast.
“In 2022, all enterprises are being pushed to transform and fundamentally change the way they do business to become sustainable enterprises,” said Dan Versace, research analyst, ESG Business Services.
Owing to increased pressure from customers, investors, and regulators, organisations are beginning to understand the business cases for sustainability.
“Those organisations that develop and implement plans to better internalise and address their environmental and social impact stand to thrive in the years ahead as leaders in the sustainability space,” said Versace.