NEW DELHI (India CSR): EcoRatings Fintech Solutions Pvt. Ltd, a subsidiary company of EcoRatings Software Solutions, gets SEBI license as a provider of environmental, social, and governance (ESG) ratings. With this license, EcoRatings will be able to provide ESG ratings to financial securities- both listed and about-to-be listed, as well as to the issuer companies.
Importance of ESG Ratings for Investors
ESG ratings enable investors to identify and mitigate potential risks linked to environmental, social, and governance factors, thereby reducing the likelihood of adverse impacts on their investments.
Strategic Benefits of ESG Ratings for Corporations
ESG ratings are essential for corporations, offering a range of strategic benefits. They enable access to green loans with lower interest rates, create competitive pricing advantages that drive revenue growth, and increase eligibility for government incentives focused on sustainability. Strong ESG ratings also enhance brand differentiation in a crowded marketplace and open opportunities to expand export share in key international markets such as the US and EU, where ESG performance plays a critical role in market access and growth.
Expert Insights on EcoRatings’ ESG Solutions
Commenting on this, Aqeel Ahmed, Director of EcoRatings, said, “EcoRatings is an established leader in providing ESG ratings for products and services. Uniquely positioned, EcoRatings leverages a fully AI-driven technology approach to calculate ESG ratings, making it likely the only company in India with this capability. The recent SEBI registration marks a significant advancement for the corporate and financial services sectors, enabling clients to access transparent and precise ESG ratings for their organizations as well as their listed/about-to-be-listed financial securities. ESG ratings are becoming vital tools for assessing and managing risks across stakeholder groups. Companies can utilize ESG ratings to attract value-driven investments, aligning their strategies with the growing emphasis on sustainability in today’s business landscape.”
Comprehensive ESG Rating System by EcoRatings
EcoRatings’ comprehensive rating system integrates leading international and national ESG frameworks to help companies assess and enhance their Environmental, Social, and Governance (ESG) performance. By adopting these comprehensive ESG ratings, businesses can ensure alignment with globally recognized ESG standards. This alignment helps organizations demonstrate their commitment to sustainable practices while achieving a competitive edge in both domestic and international markets.
(India CSR)