Corporate executives, policymakers and sustainability experts have called on businesses across East Africa to accelerate preparations for mandatory Environmental, Social and Governance (ESG) reporting requirements as regulators move to tighten corporate accountability standards.
The call was made during the second annual East Africa ESG Summit, hosted virtually by Capital One Group (COG) under the theme, “ESG as the Capital of Sustainability: From Commitment to Delivery.” The summit attracted more than 70 participants, including board members, chief financial officers, operations directors, communications professionals and sustainability practitioners from across the region.
The discussions come amid growing momentum toward mandatory sustainability disclosures in East Africa and across the continent. In Uganda, the Bank of Uganda is expected to introduce mandatory ESG reporting guidelines for financial institutions beginning in January 2027, a move that will require lenders to integrate environmental, social and governance considerations into their operations and decision-making processes.
Industry experts at the summit said the changes will have implications beyond the banking sector, as businesses seeking financing will increasingly be required to demonstrate compliance with sustainability standards.
Speaking during the event, Elvis Moenga, Manager for Standards and Technical Services at the Institute of Certified Public Accountants of Kenya (ICPAK), said companies need to begin assessing their readiness for the new reporting environment.
“With mandatory reporting for Public Interest Entities starting in 2027, companies cannot afford to wait,” Moenga said, noting that organizations should evaluate their governance structures, risk management systems, data collection processes and reporting capabilities.
Participants heard that several African countries, including South Africa, Zimbabwe, Egypt and Tunisia, already require sustainability disclosures for listed and public entities. Ghana and Nigeria have adopted International Sustainability Standards Board (ISSB) standards, while Tanzania introduced mandatory climate-related disclosures in 2025 and Kenya began mandatory ESG reporting for Public Interest Entities in January 2026.
Paul Mwirigi Muriungi, Managing Director and Head of Strategy at COG EA Ltd, said ESG considerations are increasingly becoming a business necessity rather than a voluntary corporate responsibility initiative.
“ESG is no longer a matter of corporate goodwill or public relations. It is a prerequisite for accessing capital, winning contracts, attracting investors, remaining competitive and relevant,” Muriungi said.
He added that many organizations still lack a clear understanding of ESG requirements despite the approaching regulatory deadlines.
The summit also examined concerns around greenwashing, with participants emphasizing the need for credible reporting and transparency rather than superficial sustainability claims.
Ernest Ssekisonge, Managing Director of Kasi Insight, urged policymakers and businesses to develop ESG frameworks that reflect local realities.
“We cannot simply adopt Western ESG frameworks and transplant them directly here. The operating environments are different, and there is a need to develop approaches that are relevant to Uganda and the broader East African context,” Ssekisonge said.
Organizers said the summit was originally planned as a physical event but was moved online due to concerns related to the Ebola outbreak, which affected travel plans for some speakers from Uganda and Kenya.
Organizers also announced that the ESG Awards will be unveiled on July 16 during a private engagement with partners and sponsors, while a newly established ESG Club will facilitate continued dialogue and knowledge-sharing beyond the annual summit.