Introduction
Sustainability is a significant concept because it improves the quality of life, protects ecosystems, and ensures that natural resources are preserved for future generations. That is why many organizations keep drawing much attention to incorporating this value in their professional activity. However, it is not sufficient to practice sustainability; it is additionally significant to report these activities properly. Businesses often rely on international standards that guide reporting and disclosure of sustainability information. When Kuwait is under consideration, its listed companies should do their best to improve their sustainability activities and reporting.
Sustainability Reporting Standards
Today, there are various sustainability reporting standards that guide the concept. Firstly, organizations can look at the EU Corporate Sustainability Reporting Directive, which advocates for making connections between sustainability and financial accounting (Brightest, 2022). Secondly, the Task Force on Climate-Related Financial Disclosures is beneficial because it attracts investors. The rationale behind this statement is that this standard obliges organizations to disclose climate-related financial risks (Brightest, 2022). Thirdly, it is possible to use the Sustainability Disclosure Standards by the International Sustainability Standards Board. This guideline is beneficial because it forces organizations to connect sustainability reporting and their financial statements (Brightest, 2022). This list is not exhaustive because further standards include the Carbon Disclosure Project, Global Reporting Initiative, and the Sustainability Accounting Standards Board regulations. In any case, organizations are expected to analyze these guidelines and choose the most appropriate framework based on their size and type of activities.
Sustainability Reporting in Kuwait
A suitable strategy to assess sustainability reporting is to visit the websites of some Kuwaiti listed companies. Firstly, Al-Manar Financing and Leasing does not have any sustainability information on its website (Al-Manar, n.d.). Secondly, Gulf Petroleum Investment International Limited (n.d.) has a single page dedicated to sustainability. The organization only highlights the necessity to limit its impact on the environment. Thirdly, the Oula Fuel Marketing (n.d.) website contains more information about sustainability, but the company mainly focuses on its social aspect. These activities include supporting families and preserving cultural and historical heritage, but some environmental issues are also addressed. Finally, Fujairah Cement Industries represents the most efficient approach to sustainability reporting. An appropriate webpage contains details about efforts to protect the environment, public health, and air quality (Fujairah Cement Industries, n.d.). These findings denote that Kuwaiti companies can be characterized by poor sustainability reporting. The rationale behind this fact is that Kuwaiti-listed companies will only become represented on international trading platforms in 2022.
Ensuring Quality and Diffusion of Sustainability Information
The information above clearly demonstrates that Kuwaiti companies should improve their sustainability reporting. Now, these organizations are motivated to cope with the task since they should satisfy international standards to get higher rankings. This statement denotes that the Yahoo Finance platform and Apple Stocks application analyze sustainability information while analyzing the organization’s health. That is why Kuwaiti-listed companies are expected to engage in sustainability activities more actively and improve their sustainability reporting in the near future.
Use of Media
Since not all Kuwaiti-listed companies mention sustainability information on their official websites, it is not reasonable to expect that these details will be covered on their social media. Furthermore, not all listed organizations have accounts on major platforms, including Instagram, Twitter, Facebook, and LinkedIn. That is why there is no doubt that businesses in Kuwait should go a long way to get higher rankings internationally.
Conclusion
The assignment has demonstrated that not all Kuwaiti listed companies understand the importance of sustainability activities and their proper reporting. This conclusion was obtained after the analysis of a few official websites of these businesses. Since information about the local organizations will be present via the Yahoo Finance platform and Apple Stocks application, these companies should do their best to satisfy international standards. In particular, these organizations should improve their approaches toward sustainability reporting.
References
Al-Manar. (n.d.). About. Web.
Brightest. (2022). The top 7 sustainability reporting standards in 2022. Web.
Fujarah Cement Industries. (n.d.). Social responsibility. Web.
Gulf Petroleum Investment International Limited. (n.d.). Our CSR. Web.
Oula Fuel Marketing. (n.d.). Social responsibility. Web.