KUALA LUMPUR (Aug 6): Almost all global business leaders recognise that the private sector plays a big role in achieving the sustainable development goals (SDG), but that confidence is waning, with only 48% believing that the private sector is doing enough to contribute to SDGs.

This was based on the United Nations Global Compact (UNGC) and Accenture Private Sector SDG Stocktake Report that was published last year. Carmen Lou, director for Southeast Asia for Accenture strategy, presented these findings at the UNGC Faster Forward Now 2024 forum that was held in the Asia School of Business, Kuala Lumpur, on Monday.

The report focused on the private sector and its contributions, impacts and potential when it comes to fulfilling SDGs.

The private sector has had a positive impact on social-related SDGs such as powering economic growth, increasing job opportunities and investment in low- and middle-income countries, which has achieved global poverty reduction and education gains.

However, there have been negative impacts on environmental-related SDGs, with metrics being unrepresented despite increasing attention and pressure.

“At a high level, the stocktake report shows that the private sector plays a pivotal role in economic growth and job creation globally, powering progress when it comes to the SDGs. Unfortunately, this somewhat came at the expense of climate, nature, water and waste, which exacerbated the negative impacts on global health, poverty and hunger,” said Lou.

Inflation is the main cyclical barrier (87%) that presented competing priorities and draws attention away from achieving the SDGs. When it comes to structural barriers, the inability to influence the supply chain is the biggest factor.

80% percent of surveyed business leaders say that insufficient policy incentives are a barrier to their SDG contributions, while 44% would like to see governments as key stakeholders to engage more on SDG action.

Having consistent sustainability reporting and disclosure standards is the top request of 76% of policymakers, followed by minimum wage adjustments at 71% and mandatory gender pay gap disclosures at 65%.

“Promoting disclosure of several key metrics ensure that businesses are measured on the same criteria and are being publicly held accountable for their progress,” said Lou.