Abstract
The transparency in environmental, social and governance (ESG) matters of listed small and medium-sized enterprises (SMEs) has become a major issue in sustainable finance and the energy transition. Listed SMEs have a real economic weight and 40% of them are active in sectors that are crucial for the energy transition.
This upcoming paper will provide an analysis of the approaches that listed SMEs take in regard to ESG matters, and present recommendations to the various stakeholders.
Corporate transparency in ESG matters has been a priority in Europe for several years. It is part of the measures to promote sustainable and inclusive growth, including the fight against climate change. Respective new requirements have been adopted for large companies and financial investors, but not for SMEs. SMEs, in general, seem to not be very aware of these issues and to have objective difficulties in producing ESG publications, in particular, due to a lack of data and dedicated resources. Listed SMEs, however, are starting to work on ESG transparency as their investors are increasingly asking them to provide this type of data.