Singapore scores highly in climate-related disclosure quality: report

Quality improved, coverage steady in Southeast Asia.

Singapore ranked among the countries maintaining quality climate-related disclosure in Asia, according to EY’s 2023 global climate risk barometer. 

Measuring the extent and detail of climate-related disclosures globally, the city-state was regarded as among the markets with progressive regulators after scoring 41% in 2023, higher than Southeast Asia’s average of 35%. Malaysia slightly edged over Singapore with a score of 43%.

Top markets globally for quality climate-related disclosure were the UK (66%), Germany (62%), France (59%), Spain (59%) and the US (52%).

EY’s report stated that markets in need of improvement in disclosing climate strategies and actions were India (36%), China (30%), Philippines (30%) and Indonesia (22%).

“In SEA, while each country is adopting the standards at their own pace, progressive regulators such as those in Singapore and Malaysia have started on the journey, resulting in better scores in the quality of disclosure,” Praveen Tekchandani, Singapore climate change and sustainability services leader and partner in assurance at EY, said.

The quality of disclosures in Southeast Asia improved from 2022 levels, although the coverage remained unchanged at 84% last year.

Meanwhile, about 90% of the surveyed companies in SEA were reported as not having referenced climate-related matters in their financial statements at all, while 56% of those with climate commitments failed to provide any accompanying transition plans.

The study examined over 1,500 firms in 51 countries globally, including 133 companies in Southeast Asia.