Sanjeev Sanyal calls for globally recognized ESG standards
Speaking at the Africa Partnership Conference in Mauritius, Sanjeev Sanyal, a member of the Economic Advisory Council to the Prime Minister, stressed the importance of clear Environmental, Social, and Governance (ESG) norms. Although the term ESG is well-known, specific guidelines are yet to be defined. Currently, various groups and NGOs are shaping these norms, but Sanyal emphasized the urgent need for globally recognized ESG standards and effective monitoring of their implementation.
India's role in shaping ESG norms and sovereign ratings
Sanyal shared that India is eager to lead the way in creating ESG norms, aligning with efforts to assign sovereign ratings to countries worldwide. Traditionally, three private companies, Moody's, Standard and Poor's, and Fitch, have dominated sovereign ratings. However, India's own rating agency, Care Edge, has successfully developed a methodology for this purpose. Over the next few months, Care Edge plans to rate around 40 countries and complete ratings for the rest of the world by March 2024.
India's economic growth amid global changes
During his speech, Sanyal also touched on India's economic growth in light of global geopolitical shifts and post-COVID recovery. He forecasted India's economy to grow at nearly 7% this year, with an expected growth rate of around 8% in the coming years. Despite ranking 3rd in the world by PPP and 5th in USD terms, Sanyal acknowledged that per capita income remains relatively low.
Fostering partnerships for growth and development
Sanyal highlighted Prime Minister Narendra Modi's vision for India's growth, striving for developed nation status by the 100th year of India's Independence. He concluded by reaffirming India's commitment to building partnerships, particularly with the African region, in pursuit of this growth journey. Sanyal underscored India's historical ties with Africa and the recent inclusion of the African Union in the G20 forum during its presidency.
