Towards a sustainable business

The Environmental, Social, and Governance (ESG) reporting landscape is evolving rapidly and will change even more so in the coming months and years, and as a result has become a focus of the GPPC.

The mid-market’s real prioritisation of sustainability not only reflects the growing expectation of stakeholders but the forward-thinking nature of this entrepreneurial segment. But few companies have made significant progress and many still face significant barriers.

Companies are running out of time to start this year’s ESG report process – in fact, a business starting today might not make it in time. “That doesn’t mean they should just forgo submitting a report. It’s worth making the effort and getting at least half of it done,” said Grant Thornton Baltic partner and Head of Audit and Assurance Services Mart Nõmper.

It is becoming more accepted that companies should not only focus on their own main goal – earning a profit – but also consider the environmental and social impact of their activities.

2025 is the first time that public interest entities will be required to prepare a sustainability report – which must be validated by an auditor – for the preceding year. Nine of Grant Thornton Baltic’s auditors were recently certified to audit sustainability reports, which will allow our network to provide service to many businesses and organisations subject to the obligation.

From reporting periods starting 2024 onwards, the Corporate Sustainability Reporting Directive (CSRD) will require all large companies to report on sustainability policy and performance.