Left-ruled Kerala hungry for ESG investments

New Delhi: Kerala is preparing to come out with a first-of-its-kind policy to promote environmental, social and governance (ESG) investments as the southern state focuses on the ease of doing business as well as living to attract more investors.

The state’s Industries Minister P Rajeev said experts are being consulted for finalising the policy, wherein the government also plans to provide incentives for ESG investments.

The Left Democratic Front (LDF)-ruled state, where there is scarcity of land and population density is also high compared to other states, is focused on “responsible investment and responsible industry”.

In recent times, there is an increased focus on ESG investments globally and ESG is also gaining traction as a strategy for creating value for businesses in the long term.

According to Rajeev, global trend is that one-fourth of the industrial investments are based on ESG and developed countries are giving priority to such investments.

The minister said that the drafting process is on and the policy document is expected to be finalised within the next two to three months. -(PTI)