The post-pandemic investment landscape is set to place greater value on environment, social and governance (ESG) disclosures. India has struck several new agreements with EU & key European countries which explicitly focus on clean energy and sustainable finance.
Impact & ESG investing has grown significantly over the last few years. It is a key component in almost all due diligences by PE investors as well. With the ongoing climate change disaster, investors are preferring organizations that strive to make the world a better place by addressing climate change calamities, and environmental and social issues. It has been noted that companies with strong ESG track records had lower instability rate as compared to their non-ESG counterparts during the big shift in market caused by the COVID-19 pandemic.