Global leaders are showing that they mean business on climate transparency with 85% promising to report greenhouse gas emissions as the political sands shift around them. According to Workiva, the global reporting company that commissioned this large-scale survey, insights came from 1,600 global leaders. The outcomes point out increasing awareness of financial and strategic advantages of combined ESG reporting even at times when geopolitical conditions appear uncertain.
Mandi McReynolds, Vice President of Global ESG and Chief Sustainability Officer at Workiva, said that corporate leaders are shifting from compliance to proactive embedding of resilience and adaptability in their business strategies. This shift reflects a growing consensus that addressing climate-related risks and embracing transparency are essential for long-term sustainability and profitability.
The financial benefits of integrated reporting are a strong driver for executives. Almost all respondents (97%) acknowledged that the integration of financial and ESG data enhances decision-making by identifying performance gaps and uncovering growth opportunities. In this light, 83% of leaders intend to disclose climate-related risks, while 82% aim to report on the material impacts of these risks. This type of commitment indicates a more profound knowledge that robust disclosure practices may enhance investor confidence and maintain organizational resilience in the context of economic and environmental difficulties.
Amid this mounting momentum, changes in regulation will likely have an important role to play. Brazil and Singapore lead the charge, with 78 percent and 80 percent, respectively, of executives reporting that new or expanded ESG mandates will be enacted within the next year. The United Kingdom, too, witnesses a significant proportion of 60 percent expecting regulatory growth. Beyond the need for direct compliance, 75 percent of companies report planning to align the reporting frameworks with the Corporate Sustainability Reporting Directive of the European Union, indicating rising global influence of EU standards.
According to McReynolds, it is the intersection of business performance, social impact, and technological innovation that is driving real, sustainable value for organizations. Companies realize that meeting or exceeding regulatory expectations provides a competitive edge, builds stakeholder trust, and puts them in a position to succeed in a rapidly changing global market.
Investor demand for sustainability disclosures is also at an all-time high. The survey report reveals that 96 percent of institutional investors deem that regulated sustainability disclosures enhance investment decisions, significantly higher than the 92 percent in 2023. Given this increase in confidence in standardized reporting frameworks, it can be understood that the process is indeed supported by much transparence to enhance decision-making by investors.
The report further indicates how economic factors such as inflation and interest rates are influencing corporate reporting strategies. Despite these challenges, the alignment of sustainability and financial goals is becoming an integral part of corporate strategies, creating a future where ESG considerations are inextricably linked to business success.
The insights from this survey offer a glimpse into the changing priorities of corporate leaders as they navigate complex regulatory environments and rising stakeholder expectations. The findings will be further detailed in Workiva’s 2025 Executive Benchmark Survey, which is scheduled for release in February 2025, and is expected to provide deeper analysis into the interplay between sustainability and financial performance.
As the global push for climate transparency gains momentum, businesses are increasingly realizing that proactive disclosure and integrated reporting are not just regulatory necessities but strategic imperatives that drive innovation, resilience, and sustainable value creation.