For Nigeria to be at par with other nations on global competitiveness, stakeholders have called for action to unlock Nigeria’s Environmental, Social and Governance (ESG)-driven potential and also shape the country’s Sustainability roadmap.

They made the call during the launch of ESG State of Play Report in Nigeria, developed by the Nigeria Employers’ Consultative Association (NECA) in collaboration with the International Labour Organisation (ILO) within the framework of the Leading Employers in Action of Social and Environmental Responsibility (LEADER) programme to strengthen employers’ capacity, awareness and participation in ESG practices in Nigeria.

Director-General of NECA, Adewale-Smatt Oyerinde, who noted that the business environment has evolved, said ESG factors have become core to organisational sustainability, competitiveness, and long-term value creation, making such a guide urgent.

For large corporations, financial institutions, regulators and the vibrant Micro, Small and Medium-sized Enterprises (MSMEs) sector in Nigeria, Oyerinde said the adoption of ESG consideration was no longer a choice but an imperative one that underlined national development priorities and global best practices.

Speaking on how important ESG was to the association, especially on how businesses should operate, he said the awareness of ESG was still low.

He said the association plans to deepen collaboration with organisations involved with ESG currently, so that progressively, “We become more resilient, innovative and the opportunities would be opened for everyone, like massive financial opportunities for businesses that are compliant within the context of ESG.

“After the launch, we are going to constitute the NECA-ESG Advisory Board, involving organisations that are compliant, to reach out to other organisations on the imperative of ESG.”

Special Adviser on Climate Change and Secular Economy, Lagos State, Titilayo Oshodi, who noted that ESG was no longer a “buzzword”, said it is now a determinant of business longevity, investor confidence, global competitiveness, and national development.

Citing statistics, she said in 2024, global ESG-related assets surpassed $30 trillion, influencing consumer trust, access to international markets, supply-chain partnerships, and reputational capital of organisations, beyond investments.

With these assets, she said Nigeria cannot afford to stand outside the global transformation, saying that the country’s journey toward sustainability faces both challenges and remarkable potential.

According to her, Nigeria stands at the intersection of rapid urbanisation, pressure on natural resources, youth-driven innovation and a vibrant private sector that forms the backbone of the country’s economic engine.

Oshodi said companies that embed ESG principles enjoy improved brand loyalty, reduced operational risk, lower cost of capital and greater access to global markets.

According to her, ESG attracts investors, enhances transparency, strengthens governance, and positions organisations for long-term stability.

For Lagos State and for Nigeria as a whole, she said ESG was essential for climate resilience, inclusive development, environmental protection, and economic modernisation.

“It supports job creation in green sectors, promotes responsible resource use, and strengthens our national reputation in the global marketplace,” she said.

Senior Specialist for Employers’ Activities at the International Labour Organisation (ILO), Julie Kazagui, reaffirmed the body’s commitment to making ESG a cornerstone of Nigeria’s competitiveness and sustainability.

She said ILO’s partnership is long-term, aimed at strengthening NECA’s capacity and supporting its members in building responsible, inclusive, and future-ready enterprises.

“Together, we can shape a business environment in Nigeria and all over Africa where companies thrive economically while driving social progress and safeguarding our planet. This is the essence of decent work and sustainable development—a vision we all share and will continue to advance together,” she said.

On the ESG State of Play Report, drafted with Andersen support, Kazagui said it was a roadmap for action.
Noting that it provides evidence-based insights into the current level of ESG integration in Nigeria, she said it also identifies gaps and opportunities, as well as offers actionable recommendations for NECA, businesses, policymakers, and investors.

According to her, the report will, without any doubt, serve as a critical reference point for advocacy, policy dialogue, and capacity building, helping accelerate ESG adoption and strengthen business resilience across all sectors and company sizes, including SMEs.

Director-General of the Lagos Chamber of Commerce and Industry (LCCI), Dr. Chinyere Almona, stressed that organisations that involve ESG in their frameworks tend to perform better in risk management and long-term service relations, as well as make them better positioned to retain talent.

Stating that the theme ‘Improving Employers’ Effective Participation, Awareness, and Fostering Dialogue on ESG
Among Stakeholders in Nigeria’, speaks to the heart of sustainable development, she made a call to action to ensure ESG delivers competitiveness to businesses and economic development to the country.

In her submission, External Affairs Director, BAT West and Central Africa, Odiri Erewa-Meggison, said in today’s volatile and interconnected world, ESG principles are no longer a peripheral corporate concern but are the bedrock of responsible enterprise development.

In closing the talent gap, she said a major barrier to ESG adoption was a lack of technical expertise, emphasising the need to groom a new generation of sustainability leaders equipped to guide Nigerian businesses.

“The opportunity for you is clear: there is a growing pipeline of talent ready to help your organisations navigate this complex landscape. The “State of Play” is that ESG is now a financial imperative.

“Today’s insights will guide us in forging the partnerships needed to unlock Nigeria’s ESG-driven potential. Let’s join hands to shape Nigeria’s Sustainability roadmap and strengthen employer engagement in ESG-driven growth,” she said.