Africa Sustainability Barometer

The Value Of Comprehensive Reporting

The United Nations Global Compact is proud to jointly launch the Africa Sustainability Barometer with This is Africa.

Now is a time ripe with potential for economic growth and inclusion in Africa – with private sector investments and operations providing the backbone for longterm growth, prosperity and opportunity. But investment and business activity must be sustainable – bringing value not just financially, but also in social, environmental and ethical terms. Across the continent, African businesses are tuning in to corporate sustainability and recognising the relevance and urgency of addressing environmental, social and ethical challenges.

With the Africa Sustainability Barometer, we hope to shine a light on the current efforts by companies to report on their sustainability, make the case for the value of comprehensive reporting, and encourage more companies across the continent to commit to responsible practices.

Transparency and access to information are guiding tenets of the UN Global Compact – the world’s largest corporate sustainability movement. Today, our initiative includes 8,000 companies from 145 countries – including 36 African countries – committed to embedding 10 principles in the areas of human rights, labour, environment and anti-corruption into their strategies and operations. A requisite for participation in the initiative is annual reporting on how the company is respecting and supporting these principles in their corporate actions, including measurement of outcomes.

Public availability of sustainability information is a pivotal factor in holding companies accountable for their commitments on social, environmental and ethical issues, but also for moving the broader corporate sustainability movement forward.

The provision of information also provides key insights for the investment community. In addition to checking the stock prices and financial statements of a particular company, investors are increasingly also looking for a closely aligned set of data points on sustainability performance. The case for such reporting is strong. For example, companies with robust anti-corruption policies are in a better position to avoid unnecessary costs, not to mention deeply damaging scandals and legal infractions. The same can be said about specific measures to reduce carbon footprints and improve environmental impact, and to undertake due diligence on human rights records and labour relations.

In addition to addressing issues of risk management, there is also a financial upside of sustainable business practices: the value they add to a company’s worth. Strong corporate performance on sustainability indicators provides a competitive edge. By reducing risk it strengthens access to credit markets. Strong personnel relations improve productivity. Reputable corporate standing in the community builds consumer loyalty and positive branding.

Transparency and its application to responsible business practices is an active factor in the work of the UN Global Compact. In addition, the Global Reporting Initiative (GRI) provides a reporting framework and standards to drive corporate disclosure on sustainability. Stock exchanges are also getting on board, most recently with the New York Stock Exchange committing to promote sustainable investment. And of course, the Johannesburg Stock Exchange is one of the early adherents to this movement.

The private sector is willing and able to be part of the solution to achieving a better future for all. As we look to Africa, we need business across the continent to mobilise the resources, technology and innovation required for sustainability.

Africa is among the fastest growing regions in the world, offering high returns on investment, and the opportunity to consolidate these gains and move ahead is enormous. Corporate sustainability on the continent will also have to move to the next level. The Africa Sustainability Barometer is a guide for companies to enhance their performance and report- ing on sustainability issues. It is also a call for a new wave of responsible corporate practices in Africa that can drive inclusive and sustainable markets which benefit businesses, societies and communities across the continent.

Expanding the corporate reporting net

The reporting responsibilities on companies are growing by the day, and ‘sustainability’ - once confined to vague comments on social responsibility initiatives and environmental impact now spans a much wider remit, ranging from employee healthcare to human rights.

In the case of Banro Corporation, a gold company operating in the Democratic Republic of Congo, data stretches as far as to the cost of moving graves to make way for its Twangiza mine.

Today, international companies publish more than 5,000 sustainability and corporate responsibility reports a year, to meet criteria including stock exchange rules, public procurement provisions, and health and safety laws. Between 2006 and 2013, the number of countries and regions with mandatory and voluntary reporting measures increased from 19 to 45, according to research by KPMG.

But big questions still hang over the nature of sustainability reporting. How uniform are the data collection methods and performance indicators? Where is the pressure to report coming from – CEOs, regulators, NGOs or multilateral institutions? And how much of this information makes it into core business practice, through a company’s annual reports? The Africa Sustainability Barometer, a collaboration between This is Africa and the UN Global Compact, seeks to investigate those problems.

Building the sustainability profile

The pressure to publish performance information on sustainability has been mounting since the dark days of the 1980s, 90s and early 2000s, when multinational companies were caught in a string of social and environmental disasters, ranging from the Bhopal gas explosion in India to the environmental degradation in the Niger Delta. The recent collapse of a garment factory in Rana Plaza, Bangladesh, shows that issues of corporate impact and governance are far from resolved. In South Africa, Lonmin’s decision to pay the education costs for the children of mine workers killed the Marikana shootings last year points to the sustained impacts of governance disasters on a company’s bottom line.

Reviewing the annual reports of more than 1,000 companies listed on the continent, the Africa Sustainability Barometer found that data on sustainability metrics were scattered, rarely found in the singular location of the annual report, and had a scale bias: the smaller the company, the less information was available. Outside of the continent’s established stock market – the Johannesburg Stock Exchange – there was a significant reporting drop-off.

To gauge a company’s full sustainability profile, one must go beyond annual reports and look to submissions to stock exchanges (if they are listed), specific health, safety and impact reports, financial reporting, and membership to voluntary initiatives and guidelines. The current lack of consistent, integrated reporting in a single place makes it harder for stakeholders to understand the scale and scope of a company’s operations. But it also suggests that sustainability itself, as an issue, is scattered within organisations. A 2013 report by Ernst and Young phrases this problem succinctly: “Integrated reporting leads to integrated thinking.”

But who decides where companies start and end their sustainability agenda? Much pressure to report has come from outside of business. In child labour, for instance, NGOs have pushed companies in certain sectors to spend meaningful effort auditing their supply chains. And the Africa Sustainability Barometer found that some of the largest companies in Africa now have policies covering this issue.

There may be some sectoral skew in this reporting. A number of the companies reporting on the issue stem from the mining, retail, and food and beverage sectors, including BHP Billiton, SABMiller, Massmart and Anglo American. “If you are a company operating in an industry that has been highlighted for child labour - cocoa, cottonsugar - you are much more aware and concerned than if you are in other retail or commerce sectors,” says Constance Thomas, director of the International Labour Organisation’s International Programme on the Elimination of Child Labour (IPEC). “Where there has been pressure by NGOs, by campaigns, there is a little bit more action.”

But pressure does not just come from NGOs. CEOs are also a major driver of the sustainability agenda, and the ‘C-suite’ needs to be on board to raise the issue to a strategic, managerial level. For that to happen, companies need to view sustainability reporting, and corporate governance generally, as a core business issue that can promote their productivity. Ms Thomas cites Coca Cola and Mars as “deeply engaged” in child labour issues especially compared to 10 years ago.

Despite this, the barometer found that the vast majority of companies have no clear child labour policy, even in the more established JSE. That is not to say those companies have child labour in their supply chains, but it may indicate they do not know and have not audited. Ms Thomas points out that ignorance would be no excuse were underage workers to be found.

The problem is harder to monitor amongst smaller businesses. Ally Samaje, Tanzania’s acting commissioner for minerals, admits that his country is still grappling with issues of child labour in local gold supply chains, but argues that for the most part licensed miners are not the perpetrators. “The government is always making sure that there is no child labour in mining activities, but artisanal mining is the area where there is a chance there is child labour,” he says. “They know that when the government is not present there is no monitoring, and to control it government would need to be there all the time.” The way to fix the problem, he argues, is to formalise artisanal miners. “By formalising those workers you put in a system whereby you can control such activities because you can penalise them using the license that they have.”

Reporting on other areas of non-environmental sustainability also remains patchy. However, a meaningful minority of companies have gone beyond the most basic rights issues like child labour, to begin looking at issues such as employee health in a more comprehensive way.

Tens of businesses surveyed in the sustainability barometer, particularly South African and Nigerian groups, now offer their employees HIV/Aids testing and treatment. Again, those efforts are led by the largest multinationals on the continent, including the likes of mining groups BHP Billiton, Anglo American, Kumba Iron Ore and Lonmin; food and beverage players such as SABMiller, Tiger Brands and Guinness Nigeria (owned by Diageo); the retailers Massmart and Woolworths; and a handful of banks such as Standard Bank and Investec. Other South African giants including Naspers, the media group, and Aspen Pharmacare also feature on this list.

Anglo American was a trailblazer here, creating its HIV support programme over a decade ago. The company’s move was prompted when it recognised the link between the HIV/Aids and tuberculosis – a disease for which it had a long history of providing treatment, given the prevalence of lung disease amongst miners.

“Anglo American was the first major employer to offer HIV counselling and testing coupled with free anti-retroviral therapy (ART) for HIV infected employees, and extended this free treatment to employees’ dependents with HIV in 2008. This marked the important integration of the HIV/Aids and TB prevention and treatment programmes,” says Dr Brian Brink, chief medical officer with the group.

In southern Africa, where HIV rates are still the highest in the world, the group tested over 95,000 employees last year, and says that over 90 percent of its employees in the region check their status every year.

In TB, incidents amongst employees are also on a downward trajectory, and are, at 958 per 100,000 employees, lower than both the national and industry averages. “With the escalating TB epidemic in South Africa – a direct result of the high burden of HIV in the country – we are focusing on earlier diagnosis and treatment,” Dr Brink explains.

The reasons are not only moral: companies have realised that running such initiatives, though costly, makes financial sense. “There is no doubt that HIV/Aids represents a significant cost to the business in sub-Saharan Africa,” he says. Without antiretroviral therapy, the total cost of HIV to Anglo American in South Africa is on average 6.4 percent of company payroll per year. But a 10-year study commissioned by the group showed that its prevention and treatment programmes had reduced the overall cost of HIV/Aids to the business by 9 percent.

“These savings are achieved through reduced death and disability benefits paid, reduced absenteeism, savings on inpatient and outpatient HIV-related medical costs and reduced recruitment and training costs. These findings led the researchers to conclude that company – provided ART has been cost-saving to the business,” Dr Brink says.

A mounting tally of corruption scandals in emerging markets has also pushed corruption and bribery issues into the broader sustainability agenda. Driven by activists, civil society groups and governments, more is being done to report on these problems. A number of companies assessed in the Africa Sustainability Barometer are making efforts to limit corporate gifts, while others are putting safeguards in place to ensure their suppliers enforce their anti-corruption policies.

For instance, Massmart, the Walmart-owned South African retailer, says that its formal trading agreements detail the ethical practices that suppliers are expected to uphold. The company states that it “regularly communicates its ethical standards to suppliers and service providers, and attempts to ensure that they comply with these standards”. But the moderate language is a clue to the difficulty of upholding those standards amongst distant elements of a supply chain.

More significant, perhaps, is the development of specialised anti-corruption offices within listed businesses themselves, pointing to a more systemic, integrated handling of ethical issues.

But those efforts are still limited. Taken from annual reports, only just over a dozen companies featured in the barometer appear to have developed such units. Again, the continent’s biggest groups – including BHP Billiton, Standard Bank, Sasol and Nigeria’s Access Bank – feature on that list. Massmart, too, runs its own ethics office, which takes calls and reports on corruption issues, and distributes communications on problems including bribery, profiteering and whistle-blowing to employees.

The state of sustainability reporting

The state of sustainability reporting

Battle of the regulators

The strongest drivers of corporate governance are the official regulatory bodies, and they are gradually ratcheting up the pressure on companies. The 500 companies on the JSE are now required to file ‘integrated’ sustainability reports, or explain why they cannot. And each stock exchange around the world has a different set of rules, meaning companies listed on multiple exchanges have the greatest overall reporting profile.

This is relevant for Africa, where many companies – notably in the mining sector – have several listings. Canada hosts Barrick Gold Corporation & African Barrick Gold (listed on the TSX, AMEX and LSE), Kinross Gold Corporation (active in Ghana and Mauritania and listed on the TSX and NYSE) and First Quantum, in Mauritania and Zambia (listed on the TSX and the LSE).

But regulators face resistance in their efforts to ramp up reporting. In the US, two sections of the Dodd Frank Act – 1502 and 1504 – sought to make major changes in company reporting; covering payments made to governments, and supply chain verification to avoid fuelling conflict, respectively. Both items have faced pushback.

Companies and industry bodies complained that 1504 was leading to a de facto moratorium on all minerals from the Great Lakes region, because of the difficulties associated with tracking. Section 1502 – which requires companies to publish payments made to governments on a project-by-project basis, amounting to over $100,000 – sparked a lawsuit against the US Securities and Exchange Commission in which several extractive industry companies and associations claim the article violates the US constitution, and that certain countries (including the likes of Angola and Qatar) prohibit the disclosure of payments made to their governments anyway.

But this is contested. “We looked at those countries and could not find evidence of any law prohibiting disclosure of payments,” says Joseph Williams, senior advocacy officer at Publish What You Pay. He gives short shrift to company objections over the constitution. “Companies are not people,” he says.

Not all companies objected to the rulings, however. The Norwegian oil and gas major Statoil pulled out of the SEC lawsuit and Newmont Mining, the third largest mining company in the world by market capitalisation, is not supporting it. “Being transparent about our tax and royalty payments ensures local communities are aware of the significant tax revenues that are generated and potentially available for public works and social investments,” says Omar Jabara, a spokesperson for the company, which endorsed the underlying Senate legislation in 2009.

The momentum created by Dodd Frank is having repercussions in other regions. This year the EU approved new Accounting and Transparency Directives - similar legislation to 1504, compelling oil, gas and mining companies to publish payments over EUR 10,000 ($13,100) made to governments, and to release information on their earnings in each country. Unlike Dodd Frank, the EU legislation extends as far as the forestry industry, and also captures private companies over a certain threshold - affecting any groups that meet two of the following 3 criteria: a balance sheet of over EUR 20m ($26.2m), net turnover of over EU40m ($52.4) or an average number of employees of above 250. Canada will also establish mandatory reporting standards for its extractive companies.

The private life of public money

While most reporting pressure is on big, publicly listed companies, and on larger private companies, there is also a lively debate over the private equity sector – which is growing fast in Africa.

Key metrics are emerging for measuring the sustainability of the sector. “We have spent significant time over the years evaluating how we track progress with regards to ESG (environmental, social and governance) and we have worked with key investors to work out the right mix of metrics,” says Namita Shah, vice president and head of ESG at Emerging Capital Partners (ECP), a pan-African PE firm. “A number of our investors have also collaborated to streamline the reporting requirements of general partners. As a result, the key areas for quantitative measurement have evolved into turnover, EBITDA, taxes paid and employment numbers, with a breakdown of male and female employees.”

The quantitative measure is only one of the instruments for tracking impact. Core business decisions can also further sustainability goals, says Ms Shah. “We have invested in a chain of restaurants called Nairobi Java House. When we initially invested, the company was well run, but we saw an opportunity for the company to become the first operator in the region in the fast-casual space to achieve food safety certification. This is a significant commitment to the social part of ESG, but it is also highly important from a returns point of view – we are building a business into a world-class company. When we look to exit, Nairobi Java House will be attractive to all buyers – including the well established international ones.”

PE funds occasionally work with development finance institutions, and here there should be more rigorous reporting requirements, critics say. “Given the public nature of its funds and the development mandate of these institutions, DFI-backed companies should comply with high transparency standards to ensure they are accountable to affected communities, shareholders and the citizens those shareholders are accountable to,” says María José Romero, policy and advocacy officer at the European Network on Debt and Development, an NGO. This is particularly important when it comes to funding involving major DFIs like the IFC, part of the World Bank.

Putting it into practice

Outside the purview of official regulators, and the improvised reporting of the private sector, a proliferation of voluntary standards aim to make sustainability reporting more consistent, international and comparable - with the international non-government sector a critical stakeholders.

The Global Reporting Initiative (GRI) offers the world’s only international reporting standard, while the United Nations-supported Principles for Responsible Investment (PRI) initiative and the UNGC’s Ten Principles of Responsible Business also provide targets to investors who can submit performance data annually.

The most recent iteration of GRI standards encompasses a widening range of categories and criteria, including performance in respecting ‘freedom of association’ rights and supplier human rights assessments. And by focusing on the four key areas of sustainability – economic, environmental, social and governance performance – the GRI aims to make sustainability reporting by all organisations as routine and comparable as financial reporting. This process helps companies by providing them a functional framework which they can use to develop their own sustainability reporting initiatives. Establishing a sustainability reporting process thus helps companies to “set goals, measure performance, and manage change” according to the GRI mission statement.

Other voluntary initiatives are varied, ranging from the Equator Principles (the framework by which banks can manage environmental and social issues in project financing), and the Extractive Industries Transparency Initiative (EITI), to organisations such as the Responsible Jewellery Council. Particular headway is being achieved by focused initiatives, which are able to secure genuine buy-in from stakeholders. The Carbon Disclosure Project, for instance – an international organisation providing a global system for companies to measure, disclose, manage and share environmental information, with a particularly strong focus on water – now has strong support from JSE-listed companies, according to the Africa Sustainability Barometer.

Those initiatives have provided an important medium for collaboration between corporations on sustainability issues. Others have gone further by establishing their own partnership programmes. Coca Cola, for instance, has partnered with the NGO WWF in an initiative focused on sustainable sugar cane production, which operates in a handful of countries including South Africa.

On a larger-scale, SABMiller co-chairs a unique and progressive multi-stakeholder platform for water resource management alongside the South African Department of Water Affairs. The public-private collaboration, known as the ‘Strategic Water Partners Network of South Africa’ includes the likes of Coca Cola, Anglo American and Nestlé, the Development Bank of South Africa, the South African Water Research Commission and WWF, and provides practical ideas designed to reduce the water volume supply-demand gap by 2030.

When surveying both industry associations and international frameworks and technical standards, it is clear that companies can no longer plead that sustainability reporting is too unfamiliar or burdensome a terrain for them to navigate. Much help is at hand.

Core business

Bringing together these different streams of reporting remains a huge challenge, but putting sustainability at the heart of business practices will not be achieved by reporting alone. That requires the guarantee that all such principles reach deeply into company operations, rather than sitting on the periphery.

Progress here is increasingly encouraging. The global financial crisis caused a shift in thinking, and at Harvard Business School, the strategy guru Michael Porter pioneered the concept of “shared value” as a way of “fixing capitalism”. The idea was an antidote to the perceived failure of simple corporate social responsibility, and it stated that the creation of economic value would also require value creation for society. To sustain financial performance and social progress, businesses would need to rethink the way in which they operate, Mr Porter argued.

“A turnaround in companies [occurs] when it becomes part of their business plan and not just part of their marketing. This has to be part of their delivery mechanism, of their marketing strategy, of their product delivery and quality,” Ms Thomas of the ILO says.

More and more companies – including a number of those featured in the Barometer – have made important efforts to re-conceive the way they operate with the aim of meeting those criteria. For these groups, the concept of sustainability has been shifted from the margins of business to the core, as they recognise the link between sustainability and financial performance.

Amongst the companies listed in the Barometer, a handful stand out as having developed a strategy for sustainability which is holistically integrated into their business model. Prominent amongst them are agriculture and food and beverage groups whose core performance relies on developing sustainable local value chains. Illovo Sugar, Africa’s biggest sugar producer, and Botswana’s Sechaba Brewery are both examples, as is Pick n Pay, the South African retailer. That group performs the best of any company in the Barometer on issues of supply chain management - an underreported area of sustainability.

Like other international food, drink and consumer goods giants who have developed holistic approaches to sustainability, Pick n Pay is developing an entire business model centred on the sustainability of its sourcing.

In its sustainability report, the company explains that the challenges of rising food and energy prices, volatile commodity prices and climate risks are likely to mount. In South Africa, high levels of unemployment and inequality are intensifying these pressures. “Events of the past year have con?rmed that ESG issues are having an impact on businesses more overtly and with greater urgency. Global debates on the interconnectedness of water, food and energy challenges are finding local expression,” the group states. “Given all these trends, we see value in strengthening our sustainability management and reporting systems.”

CEO Richard Brasher says: “Changing market conditions require quality products produced in a socially and environmentally responsible way. This in turn requires us to work in partnership with suppliers, to understand their business needs and risks, and to work to achieve shared goals.”

Other groups are meeting those challenges in the same way. Notable internationally are the likes of Diageo and Unilever. Of those African-listed companies featured in the Barometer, PZ Cussons Nigeria and SABMiller both excel for similar reasons. The South African brewer has mapped out 10 sustainable development priorities which it says identifies “the issues material to our business”. Ranked highest amongst those are water and enterprise development within its value chains. To map its gains, the company has created its own technology, the ‘Sustainability Assessment Matrix’, which tracks and reports performance on a country-level against clearly-defined criteria. The group says it aims to become 25 percent more water-efficient by 2015, over a 2008 base, and has already made gains of 13 percent.

But the companies internalising their sustainability strategies still remain too few, and for the most part, reporting on issues of sustainability is still patchy.

For those who understand how sustainability affects their corporate performance, increased reporting and integration of the sustainability agenda looks likely. For companies who operate in a more isolated manner, and for the many smaller companies who are not in the public eye, the advocacy work has a long way to go.

Time for a more collaborative approach to investing in Africa

The often quoted ‘facts’ around the ‘Africa Rising’ story, such as the continent being home to 7 of the world's 10 fastest growing economies in the world and a rising middle class with greater political and macro stability, often masks a darker reality.

A reality that casts a shadow over populations still to see the real-life benefits that their countries growth figures would imply. This poses a fundamental challenge as to whether this growth is real and sustainable. One of our objectives at Invest In Africa is to promote Africa as being ‘open for business’, but we also recognise the importance of doing this in a balanced way, with transparency and sustainability being key requirements to successful business.

The challenge of whether Africa’s growth is real and sustainable is typified by countries like Sierra Leone, Ivory Coast and Chad. All three posted growth rates over 9 percent last year but all fall into the bottom 20 countries in the Human Development Index (HDI), as ranked by the UN on education, life expectancy, health, per capita income, inequality and other such factors. So while the statistics might paint a positive picture of life in Africa, the problems that have dogged the continent for decades very much persist. This is why greater transparency on where invested money is going, how it is spent and who it impacts is so important in driving future improvements.

The idea that ‘trickle down’ growth is a necessary byproduct of development is a dangerous and incorrect assumption. India has enjoyed a strong economic performance over the last decade, averaging 7.6 percent growth per year, and yet the country still ranks 136 out of 187 countries in the HDI. But there are cases where more has been achieved. South Korea saw steady economic growth at the end of the 20th Century and managed to use this to drive social development, so that it now sits 12th on the HDI list and acts as a beacon of hope that Africa will strive to emulate in the coming years.

So it is clear that mere growth is not enough. At Invest In Africa we think countries require the active input of 3 key actors: international companies, governments and local businesses. Only with the combined and coordinated actions of these groups can such impressive statistics be translated into tangible improvements for Africa’s citizens. Each of them has their own role to play and their own duties to fulfill, yet none can truly succeed in realising this ambition if they act independently.

Firstly, international companies need to ensure that they take a long-term mindset to all business interactions in Africa. Central to this must be the establishment of local partnerships, which will bring the benefits of international investment to the people of the countries in which they are made through job creation and the transfer of knowledge and skills. Such partnerships are not only beneficial for the local communities, but they also reduce the cost and risk of doing business. For example, sourcing goods and services locally reduces supply chain costs and drives greater efficiency and reliability. Working closely with local businesses and ensuring that the ‘value-add’ takes place in country is fundamental to guaranteeing that the benefits of growth are distributed locally.

But the responsibility is not limited to the investors; governments too must shoulder their share. Official policies must bring together the interests of private investors and the realistic demands of the local work-force to reform the way business is currently done in Africa. This means consultation with the private sector and key trade bodies when deciding on legislation that will have a far reaching impact on investors, such as ‘local content’ reforms and minimum local equity ownership requirements. Rather than shifting all responsibility onto outside investors simply by mandating pre-determined minimum quotas for these important areas, governments must take time to engage in genuine discussions and compromise with these key stakeholders. Public-Private Partnerships of this nature have already started seeing success, such as with Malawi’s cotton farming industry, where crop production increased by 265 percent in 3 years after the two sectors came together in partnership. Similarly, in 2006 just 2 million Kenyans had access to banking services. But after government institutions worked with Vodafone to create M-Pesa, Kenya’s first mobile banking service, the sector has been transformed. As well as creating 7,000 enterprises and 12,000 jobs, M-Pesa is now used by over 17 million Kenyans; around two thirds of the country’s adult population.

Finally, local businesses need to work with both governments and private companies to make their business a credible destination for investment and an integrated part of their country’s business life. Comprehensive as anti-corruption, environmental, and health and safety policies are needed alongside evidence of operational and financial integrity, such as audited accounts and VAT registration details, to make a local company viable for the international market.

Using a more collaborative approach to actively invest in local economies will be crucial to addressing the widespread inequalities that are still so evident and delivering truly sustainable growth across Africa.

William Pollen is Programme Director at Invest In Africa

Getting a fair deal on Africa’s resource wealth

In Luanda, the capital of oil-rich Angola, multimillion-dollar properties are dotted along a winding seafront road, the Marginal – one of the most expensive real estate locations in the world.

Only a few streets back, however, you are greeted by slums, poverty and children hawking on the streets. Welcome to Africa’s natural resource paradox.

The global commodities boom has brought an incredible variety of foreign investors to Africa. That’s good – large foreign investments, as well as new technologies and expertise, are essential for Africa to modernize, industrialize and reduce poverty. Many new investors are the honest, strategic business partners the continent really needs. When it comes to exploiting Africa’s huge reserves of oil, gas and minerals, however, the investment picture is much murkier.

Africa’s natural resource wealth has driven rapid economic growth, but in many countries the true owners of that wealth – Africa’s citizens – have failed to see any long-term benefits, because of poor governance, shady deals, low tax revenue, and lack of local inputs and investments. Alarmingly, the stark inequalities on show in places like Luanda are actually widening.

This growing inequality, combined with high unemployment, rapid population growth and increasing popular demand for political accountability could be a combustible mix. Africa’s leaders and their international partners should take immediate steps to make sure the continent’s resource wealth flows to all, especially those who need it most.

The starting point must be national strategies that link the extractive sectors more explicitly with job creation, poverty reduction and inclusive growth. If extractive investments do not lead to meaningful benefits for local communities, their value should be questioned.

The aim of any national policy for natural resources should be to use the revenue to build an economy that frees itself as quickly as possible from dependence on oil, gas and mining. Processing commodities, instead of exporting them raw, is a first good step that would bring extra revenue and create jobs. To transform resource windfalls into a lasting progress, it is crucial to invest the revenue in infrastructure, education and health care.

Even the most enlightened African governments, however, face considerable obstacles in making sure their countries get a fair share of their own mineral wealth, including incoherent international tax rules, a proliferation of tax havens, and legal murkiness that allows companies to hide ownership and revenue streams behind a thicket of shell companies. Just one questionable practice, trade mispricing, costs Africa an estimated $38.4 bn every year, more than the inflows of either international aid or foreign investment.

The scale of the problem was thrown into sharp relief earlier this year when the Africa Progress Panel, chaired by Kofi Annan, released Equity in Extractives: Stewarding Africa’s natural resources for all. The report looked at five mining deals in the Democratic Republic of the Congo (DRC), which cost the country an estimated US$1.4 billion through the systematic undervaluation and sale of national mineral assets to anonymous shell companies. This amount is equivalent to roughly twice the DRC’s combined budget for health and education. It also represents profound tragedy for a country that has some of the world’s worst health and education indicators.

Remarkably, the global momentum for greater financial transparency and accountability is accelerating, with diverse voices calling for an overhaul of international tax rules. Two years ago, who would have thought the US mortgage crisis and the euro zone’s predicament might improve global transparency and accountability? As austerity bites in many G8 countries, citizens are demanding fairness and action. They feel cheated, and will no longer tolerate secret deals, illicit financial flows and tax havens. For citizens everywhere, in Africa, in G20 countries and across the globe, current tax practices raise questions about fairness, social justice and citizenship. Such practices affect a grandmother in Manchester as well as a mother in Mali – but they affect Africa more.

It is rare in global policymaking that interests align to the extent that we are seeing today. As the silos of secrecy crumble, a shared agenda is emerging in which different parties have overlapping interests and similar goals. Financial transparency has climbed high on the international political agenda, as this year’s G8 and G20 summits show.

Effective taxation lies at the heart of the social contract between citizens and the state. It is a powerful instrument to reduce inequality, stimulate growth and enhance human development – for all countries. As the international community clamps down on tax avoidance and tax evasion, it will rightly demand more transparency about how tax revenue is used. So will countries’ own citizens.

Several African governments, including those of Guinea, Liberia and Sierra Leone, have already begun to boost their own transparency, publishing extractive contracts online or complying with transparency standards laid out by the Extractive Industries Transparency Initiative. In Nigeria, budgets are being published.

The G20 countries have been able to join hands to transform commitments made at the G8 Summit in June this year into an agreement to begin sharing tax information automatically between themselves by the end of 2015. A timeframe is now needed to include developing countries in this system. Trade mispricing must also be tackled head-on and registries of beneficial ownership information must be made public to encourage long-term investments.

Some large mining and oil companies are also increasingly seeing the benefits of long-term relationships rather than quick wins, and are doing their part by increasing transparency, transferring skills and investing in local communities. A good reputation brings its own benefits. Increased transparency also builds trust, arguably the greatest insurance policy for any multinational company. Companies have an opportunity to do the right thing now without waiting for legislation.

Building trust is harder than changing policies – yet it is the ultimate condition for successful policy reform,” as Kofi Annan has stated. “Mutually beneficial agreements are the only ones that will stand the test of time”.

Public scrutiny by citizens across the globe will continue to be a crucial force for change. As interests align, and the context shifts, everyone has a role to play in stewarding Africa’s natural resource wealth to transform the lives of many on the continent and across the globe.

Caroline Kende-Robb is the Executive Director of the Africa Progress Panel, a foundation chaired by Kofi Annan.

African solutions to African challenges

Corruption, high start-up costs, poor infrastructure, incoherent regulation and weak governance – these are the oft-cited barriers to foreign investment and regional integration in Africa. But this storyline is rapidly changing.

With recent increases in the disposable income of the citizenry, demographic trends favouring new entrants to the workforce, urbanisation – and with that, the diversification of incomes outside of traditional, rural sectors – Africans are turning inward, investing at home and setting the trend for how future business will and should be conducted on the continent. Sustainable business solutions are helping to underpin this encouraging trend.

No one wants to do business in an unpredictable environment and African investors are just as discerning and cautious as their international counterparts. But with a closer vantage point, perhaps we see the opportunities more clearly.

Togo-based Ecobank Group, supported initially by the Ecowas fund, was one of the first to focus on cross-border expansion to “Middle Africa,” then dominated by foreign and state-owned banks. The company now provides financial services in 33 African countries with assets valued at $19bn. Others like United Bank of Africa are following suit. According to Ernst & Young’s Africa Attractiveness Survey, Nigerian and South African FDI flows to other African countries are over $1bn each, and growing. Over the last decade, Kenya Commercial Bank (KCB) Group investments were higher than multinationals such as Coca Cola, Total, French cement conglomerate Lafarge and beer maker SABMiller among others, ranking it among the top five investors on the continent.

This burgeoning phenomenon runs contrary to our historical trade patterns, which have tended strongly toward the export of raw materials both to the West and to the East. Despite sustained GDP growth over the past decade, the vast majority of the population does not experience any ‘trickle-down’ benefits. The frustration is growing; Africans are creating their own solutions. The focus on value-added processing before domestic or international sale; service-oriented businesses for the growing consumer class; and expansion into neighbouring countries with similar legal or socio-cultural practices to achieve economies of scale are all clear indications of movement towards more sustainable growth. And, when companies engage in sustainable business practices, this also helps support intra-African trade, enabling companies to build scale quickly by tapping international capital and expanding regionally and outside of Africa.

We’re also being creative about addressing market failures and taking the initiative to better place our development partners’ monies in order to catalyse sustainable new opportunities for the private sector. For example, African agriculture – a sector attracting both domestic and international investors – is particularly exposed to the vagaries of the weather. Every time we have a severe drought or flood, lives are lost, assets are depleted, and development gains suffer major setbacks – forcing more people into chronic destitution and food insecurity in the world’s least developed countries.

We rely on cost-ineffective ad hoc charity for each disaster, while developed countries use insurance-like risk management systems. So why don’t we?

African Union member states have bonded together to create the African Risk Capacity (Arc), a ground-breaking extreme weather insurance scheme designed to model and price Africa’s weather risk – where the private sector failed to invest.

The Arc is a disruptive innovation, which aims to create a new market and value network not only for the global (re)insurance industry, but also for capital contributors interested in protecting investments in the continent’s agricultural sector. By utilising modern risk management techniques to protect investments and accumulated assets, Arc aims to contribute toward building resilience among vulnerable populations, promoting fiscal stability by preventing budget dislocation, and increasing productivity and economic diversification in some of the world’s fastest growing economies.

It is sustainable business ventures like the Arc and others that pave the way to an improved investment environment on the continent. And shortly, we expect that this trend will crowd in other investors, both continental and international, at an accelerated pace. As we cease to rely exclusively on extractive industries, we can focus rather on the rising and powerful consumer class to fuel the continent’s more sustainable growth.

Ngozi Okonjo-Iweala is Nigeria’s coordinating minister for the economy and former managing director at the World Bank

Doing well in Africa can also mean doing good

Often assumed to be incompatible with commercial investing, confined to multilateral agencies or social responsibility arms of corporates polishing a public image, sustainable business is increasingly significant to investors.

International companies now publish more than 5,000 sustainability and corporate responsibility reports a year, and between 2006 and 2013, the number of countries and regions with mandatory and voluntary reporting measures increased from 19 to 45.

At 46 Parallels, like many investment funds, we find ourselves at the metaphorical crossroads between our ethics, our moral compass and our responsibility to deliver positive and competitive returns to our investors. With Africa, our target region, undergoing an unprecedented investment boom, the right approach to sustainability can not only go hand in hand with commercial investing, but help strengthen one of the world’s most exciting growth prospects.

Broadly speaking, investors in Africa can be grouped in two - the social/impact investor and the commercial investor. For the former, financial returns are sometimes outranked by ‘social returns’ and ‘governance improvement’. Commercial investors tend to, unsurprisingly, have just one prime consideration - the bottom line. Anecdotally, we find that the vast majority of money available to invest in the continent’s private sector is financially motivated. For Africa to maintain and consolidate the current wave of optimism around its economic potential, it has to be unremittingly relevant to the latter; the commercial investor. In recent years, it has taken important steps in this direction.

Seven of the world’s ten fastest growing economies are now on the continent. In 2012, foreign direct investment increased by 5 percent to a record $50bn, bucking a global dip of 18 percent. Following a vanguard of Africafocused investment firms, private equity brand names such as KKR and the Carlyle Group are now embracing the continent. The list of international businesses moving into or scaling up their operations in Africa is growing rapidly. Last year, Walmart spent $2.5bn buying into a fast growing consumer market across sub-Saharan Africa.

Despite these ostensible boom times, mid-market businesses in Africa’s locally owned private sector struggle to attract the capital required to expand. Foreign interest is particularly deficient in terms of access to debt, which was instrumental in the growth of the now ‘Emerging Markets’, and something we address through our investments. There are world-class examples of businesses operating with an integrated approach to sustainability on the continent, but these represent a small share of overall private sector activity. Unless African companies, especially the mid-market, are able to meet the organisational standards required by commercial international investors, they face an uphill struggle.

We are certain that Sustainable Business can and does play an important role in companies achieving those standards. Compliance with international legislation such as the US’ FCPA and local legislation like the Kenyan Ethics and Anti-Corruption Commission Act and the Ugandan National Environmental Act, are already important points on the checklist of investors looking for portfolio companies. To a growing number of financiers, including ourselves, businesses that effectively address these issues within the context of a broader Environmental, Social and Governance (ESG) approach stand out. More practically, businesses willing to improve their ESG credentials also indicate better quality investments for us.

There will always be a strand of commercial investors that view ESG as dilutive to their returns, and we are critical of their misalignment with communities, support for public-sector corruption and short-term approach to investing in Africa.

We are similarly critical of overzealous social investors, who prioritise the social/governance bottom lines above the financial. Their capital can develop false economies and inefficiencies which can, in turn, dull African corporate instincts and embed what many call the donor/aid false economy.

As Africans with a background in global investment banks, focusing on a single (commercial) bottom line is part of our DNA. However, in building our business we have not found it challenging to incorporate an ESG framework which dovetails with our focus on financial returns for our investors and investing for the longer term in the continent we live in.

A few guidelines that work for us:

Embrace Sustainability’s potential to improve financial returns: An inclusive approach to ESG sustainability for our investee companies has proven to be as important a success factor to risk management as any other. Fines, graft, waste are all drags on a business’ profitability and are limited by an effective ESG framework.

You are not alone, bring the experts in: Early in the life of our fund, we engaged partners in the ESG space to help us to articulate our philosophy and develop an ESG strategy to formalise the natural willingness to ‘do good’ with our capital in a realistic way. Combining real world , on the ground experience with theirs, moving from the theoretical to the practical.

Cover the macro and micro: our ESG Framework is applied from philosophical level down to our daily/weekly investment processes; making sure that from Analyst to Partner we are comfortable with the sustainability credentials of our investee companies and driving them to attain higher standards.

Use support tools: Leaning on the IFC Performance Standards and other applicable regulations (as we do) ensures you are of equally impressive moral fibre as social investors while targeting commercial returns – something to consider for those who think they have a binary choice between tactics.

The most important kind of investment Africa needs at this stage of its development is patient, commercially motivated capital with an interest in the long-term health of the continent’s fast growing economies. ESG is an important element in achieving this.

Funsho Allu is a partner at 46 Parallels. Twitter: @46Parallels

Shared value: Partnering up

The notion of “doing well by doing good” was once among the best kept business secrets of forward-looking CEOs.

Now it is a common call to action and repeated refrain in the boardrooms of multinationals looking to remain competitive in global and emerging markets. For evidence, look no further than the fact that there are now 800 certified B-Corporations, a designation for companies that commit to meeting rigorous standards of social and environmental performance, in 27 countries around the world.

The motivation for these businesses comes not only from the goodness of their hearts but the future of their bottom line – and that’s okay. Philanthropy, governments, and business all have unique reasons for working toward sustainable and equitable outcomes in every region of the world, but the only way we’ll meet them is by creating new ways to work together.

Nowhere in the world are the potential rewards greater for both business and development than in Africa. Of the world’s 10 fast growing economies, seven are in Africa. According to McKinsey, consumer-facing industries are expected to grow by $400bn by 2020, and by 2040, Africa will be home to 40 percent of the world’s population, thanks to a burgeoning youth bulge that is outpacing India and China.

Businesses entering Africa are poised to benefit enormously from the continent’s growth. But those who do so without also addressing social inequities and environmental degradation are actively working against their long-term goals. Effective CEOs recognise the inherent opportunity in providing consumers with needed products and services, while also contributing to the inputs that create healthy, more productive workforces, and strengthening value chains in ways that address social inequities, improve livelihoods, and ensure the supply of agricultural commodities and natural resources remains safe and steady.

Philanthropy that does not value and engage the private sector, and its immense expertise, resources, and financing potential, is not fully maximising impacts for the vulnerable people it aims to serve. Between us, philanthropy and governments do not have enough capital to solve all the world’s staggering social and environmental needs. Trillions of dollars are locked up in private capital.

One way to unleash some of that capital is through impact investing; an approach intended to generate social and environmental impact, which is gaining momentum in Africa. Just as impact investors are seeking a double-bottom line return, sustainable businesses are working to create shared value and prosperity for shareholders, employees and consumers alike. Take Unilever, which recently entered the water business in Kenya with a home purifier that works without electricity or gas. Not only will this improve the quality of water Kenyans have access to in their homes, it will also allow Unilever to capitalise on the growing number of consumers entering the bottled water market.

Public-private partnerships have the ability to bring impact to even greater scale. The nonprofit Switchboard has partnered with Vodafone and MTN to create a free calling network for doctors in Liberia and Ghana. Healthcare workers can contact one another free of charge, enabling greater sharing of medical knowledge and alerts to public health emergencies. As doctors make free calls, they also use additional paid services, generating revenues for the partner mobile operators.

Philanthropy can play two important roles in support of sustainable business practices. The first is de-risking these kinds of investments. In Ethiopia, The Rockefeller Foundation, along with Swiss Re, provided early capital which helped Oxfam and several national and community-based partners bring in private insurance providers to protect farmers. Enabled by a large government safety net, these groups were able to scale and reach cash-poor farmers with risk management packages, including insurance and credit, and are helping smallholders protect themselves from the impacts of climate change and drought. The pilot has since grown into Oxfam’s Rural Resilience Initiative.

Philanthropy can also serve to connect actors across sectors and geographies. For example, The Rockefeller Foundation’s Digital Jobs Africa initiative, a nearly $100m investment with the goal of improving 1 million lives by connecting disadvantage youth to digital job opportunities, is working to bring together governments and businesses to create a market for job creation and skills training that will last long after our initial commitment has ended.

Governments also play a role in creating the enabling policies that draw in investment, building the stability required for innovation to occur, and ensuring that infrastructure allows for distribution chains to function effectively.

Each sector stands to gain something different from the prosperity of Africa and its people. But only by working together, learning from each other, and charting a shared path forward will we get there.

Judith Rodin is president of The Rockefeller Foundation

Country Data: South Africa

Company Human Rights Labour & Employment
Published Policy Covering Human Rights
Policy Against Child And Forced Labour
Non Discrimination & Equal Opportunity
Training Employees
% Of Female Employees
Safety Audits & Reviews
British American Tobacco Y Y Y     Y
SAB Miller Y Y Y Y 19 Y
BHP Billiton Y Y Y Y 17 Y
Naspers   Y   Y 40 Y
Anglo American Y Y Y Y 15 Y
MTN     Y Y 25  
Sasol Y   Y Y 22 Y
Standard Bank Y   Y Y 57 Y
Vodacom   Y Y Y   Y
FirstRand     Y Y 61  
Old Mutual     Y Y   Y
Barclays Africa       Y    
Anglo Platinum Y Y Y Y 12 Y
Aspen Y Y Y Y 50 Y
Sanlam     Y Y 59  
Nedbank Y Y   Y 63 Y
Shoprite       Y   Y
Woolworths       Y 65 Y
Impala Platinum Hlds Y Y Y Y 5 Y
Anglogold Ashanti Y   Y Y   Y
Bidvest Group     Y Y 58 Y
Company Enviromental Anti-Corruption
Environmental Impact Assessment
Environmental Management System In Place
Absolute Carbon Footprint (tonnes)
Policy Limiting Value Of Gifts
Provision For Anonymous Whistleblowing
British American Tobacco Y Y   Y Y
SAB Miller Y   2,000,000   Y
BHP Billiton Y   40,200,000 Y Y
Naspers Y   165,710   Y
Anglo American Y Y 18,800,000 Y Y
MTN Y Y 1,040,722   Y
Sasol Y   73,370,000 Y Y
Standard Bank Y   412,089   Y
Vodacom     544,381   Y
FirstRand Y   285,562   Y
Old Mutual Y   666,000   Y
Barclays Africa Y   350,909 Y  
Anglo Platinum Y Y 5,991,000    
Aspen   Y 169,026 Y Y
Sanlam Y Y 41,582 Y Y
Nedbank Y   226,309    
Shoprite Y     Y Y
Woolworths Y   295,874    
Impala Platinum Hlds Y Y 3,707,000    
Anglogold Ashanti Y Y 978,000   Y
Bidvest Group Y   706,705   Y
Company Corporate Governance CSR Supply Chain Management
Published Corporate
Governnace Report
Of The Board (%)
Education &
Skill Development
Health &
Resource Mangament
& Infrastructure
Ethical Compliance A
Contractual Requirement
British American Tobacco Y 69   Y    
SAB Miller Y 62   Y   Y
BHP Billiton Y 92 Y     Y
Naspers Y 68 Y      
Anglo American Y 92 Y Y    
MTN Y 70   Y    
Sasol Y 69 Y Y    
Standard Bank Y 57 Y Y   Y
Vodacom Y 42 Y Y Y  
FirstRand Y 60 Y Y    
Old Mutual Y 60 Y      
Barclays Africa Y 55 Y      
Anglo Platinum Y 50 Y Y Y Y
Aspen Y 50        
Sanlam Y 50 Y Y    
Nedbank Y 31 Y   Y  
Shoprite Y 50 Y Y    
Woolworths Y 71 Y Y   Y
Impala Platinum Hlds Y 60 Y Y Y Y
Anglogold Ashanti Y 83 Y Y Y Y
Bidvest Group Y 45 Y   Y  

Source: The Africa Sustainability Barometer data set

Companies listed represent the largest ones by market cap on Africa’s biggest exchanges and do not cover all companies tracked by the Barometer. To access the full barometer, visit This is Africa. All data is based on the most recent annual integrated reports and/or sustainability reports up to September 2013.

Find out more about the Africa Sustainability Barometer data set

Country Data: Nigeria

Company Human Rights Labour & Employment
Published Policy Covering Human Rights
Policy Against Child And Forced Labour
Non Discrimination & Equal Opportunity
Training Employees
% Of Female Employees
Safety Audits & Reviews
PZ Cussons Y Y Y Y 30 Y
UACN       Y   Y
Unilever Nigeria       Y   Y
Access     Y Y 39 Y
Diamond Bank       Y    
Fidelity Bank     Y Y 40  
Guaranty     Y Y 43  
Julius Berger     Y Y   Y
Skye Bank     Y Y 41  
United Bank for Africa       Y 44  
UBN     Y Y 41  
Zenith Bank     Y Y 48  
Ecobank Transnational Inc     Y Y 42  
GSK Nigeria     Y Y    
Flour Mill            
Nestle Y Y Y Y 33 Y
Guinness Nigeria     Y Y   Y
Oando Plc       Y   Y
Lafarge Wapco     Y Y   Y
First City Monument Bank     Y Y 40  
Company Enviromental Anti-Corruption
Environmental Impact Assessment
Environmental Management System In Place
Absolute Carbon Footprint (tonnes)
Policy Limiting Value Of Gifts
Provision For Anonymous Whistleblowing
PZ Cussons Y   115,404   Y
Unilever Nigeria   Y      
Access         Y
Diamond Bank          
Fidelity Bank          
Guaranty         Y
Julius Berger          
Skye Bank          
United Bank for Africa          
Zenith Bank Y        
Ecobank Transnational Inc Y Y      
GSK Nigeria       Y Y
Flour Mill          
Nestle Y Y 3,800,000   Y
Guinness Nigeria Y     Y  
Oando Plc          
Lafarge Wapco         Y
First City Monument Bank          
Company Corporate Governance CSR Supply Chain Management
Published Corporate
Governnace Report
Of The Board (%)
Education &
Skill Development
Health &
Resource Mangament
& Infrastructure
Ethical Compliance A
Contractual Requirement
PZ Cussons Y 65 Y Y Y  
UACN Y   Y      
Unilever Nigeria Y   Y Y    
Access Y   Y Y Y  
Diamond Bank Y 15 Y Y Y  
Fidelity Bank Y 11 Y Y Y  
Guaranty Y 14 Y Y Y  
Julius Berger Y 8 Y Y    
Skye Bank Y 7        
United Bank for Africa Y   Y Y Y  
UBN Y   Y Y Y  
Zenith Bank Y 23        
Ecobank Transnational Inc Y   Y Y Y  
GSK Nigeria Y 11 Y Y    
Flour Mill Y   Y Y Y  
Nestle Y Y   Y Y Y
Guinness Nigeria Y   Y Y Y  
Oando Plc Y 33 Y Y Y  
Lafarge Wapco Y   Y Y Y  
First City Monument Bank Y   Y Y    

Source: The Africa Sustainability Barometer data set

Companies listed represent the largest ones by market cap on Africa’s biggest exchanges and do not cover all companies tracked by the Barometer. To access the full barometer, visit This is Africa. All data is based on the most recent annual integrated reports and/or sustainability reports up to September 2013.

Find out more about the Africa Sustainability Barometer data set

Country Data: Kenya

Company Human Rights Labour & Employment
Published Policy Covering Human Rights
Policy Against Child And Forced Labour
Non Discrimination & Equal Opportunity
Training Employees
% Of Female Employees
Safety Audits & Reviews
East African Breweries Y Y Y Y    
Barclays Bank of Kenya     Y      
Kenya Comm Bank            
Safaricom     Y Y 43 Y
Equity Bank            
Rea Vipingo            
Athi River Mining            
Bamburi Cements       Y    
Mumias Sugar       Y   Y
KenGen     Y Y   Y
Nation Media Group       Y    
Company Enviromental Anti-Corruption
Environmental Impact Assessment
Environmental Management System In Place
Absolute Carbon Footprint (tonnes)
Policy Limiting Value Of Gifts
Provision For Anonymous Whistleblowing
East African Breweries          
Barclays Bank of Kenya          
Kenya Comm Bank          
Safaricom Y Y 70,258 Y  
Equity Bank          
Rea Vipingo          
Sasini Y        
Athi River Mining          
Bamburi Cements Y       Y
Mumias Sugar          
KenGen Y Y      
Nation Media Group          
Company Corporate Governance CSR Supply Chain Management
Published Corporate
Governnace Report
Of The Board (%)
Education &
Skill Development
Health &
Resource Mangament
& Infrastructure
Ethical Compliance A
Contractual Requirement
East African Breweries Y 54 Y   Y Y
Barclays Bank of Kenya Y 60 Y   Y  
Kenya Comm Bank Y 82 Y Y Y  
Safaricom Y   Y Y Y Y
Equity Bank Y   Y   Y  
Rea Vipingo Y 40   Y Y  
Sasini Y 22.22 Y   Y  
Athi River Mining Y   Y   Y  
Bamburi Cements Y 45 Y   Y  
Mumias Sugar Y   Y Y    
KenGen Y   Y Y Y  
Nation Media Group Y   Y Y Y  

Source: The Africa Sustainability Barometer data set

Companies listed represent the largest ones by market cap on Africa’s biggest exchanges and do not cover all companies tracked by the Barometer. To access the full barometer, visit This is Africa. All data is based on the most recent annual integrated reports and/or sustainability reports up to September 2013.

Find out more about the Africa Sustainability Barometer data set

Country Data: Mauritius

Company Human Rights Labour & Employment
Published Policy Covering Human Rights
Policy Against Child And Forced Labour
Non Discrimination & Equal Opportunity
Training Employees
% Of Female Employees
Safety Audits & Reviews
Mauritius Commercial Bank     Y Y    
ENL Land Ltd            
Mauritius Union Assurance           Y
The Mauritius Dev Trust Co            
Rogers & Co       Y   Y
United Basalt            
Omnicane Y Y Y Y 6 Y
Air Mauritius           Y
Harel Mallac       Y   Y
Company Enviromental Anti-Corruption
Environmental Impact Assessment
Environmental Management System In Place
Absolute Carbon Footprint (tonnes)
Policy Limiting Value Of Gifts
Provision For Anonymous Whistleblowing
Mauritius Commercial Bank          
ENL Land Ltd          
Mauritius Union Assurance          
The Mauritius Dev Trust Co          
Rogers & Co          
United Basalt          
Omnicane Y        
Air Mauritius Y        
Harel Mallac          
Company Corporate Governance CSR Supply Chain Management
Published Corporate
Governnace Report
Of The Board (%)
Education &
Skill Development
Health &
Resource Mangament
& Infrastructure
Ethical Compliance A
Contractual Requirement
Mauritius Commercial Bank Y 55 Y Y    
ENL Land Ltd Y 40 Y Y Y  
Mauritius Union Assurance Y 45 Y Y    
The Mauritius Dev Trust Co Y 33 Y Y    
Rogers & Co Y 25 Y Y Y  
United Basalt Y 60 Y Y Y  
Omnicane Y   Y Y Y  
Air Mauritius Y 13 Y      
Harel Mallac Y 60 Y Y    

Source: The Africa Sustainability Barometer data set

Companies listed represent the largest ones by market cap on Africa’s biggest exchanges and do not cover all companies tracked by the Barometer. To access the full barometer, visit This is Africa. All data is based on the most recent annual integrated reports and/or sustainability reports up to September 2013.

Find out more about the Africa Sustainability Barometer data set

A global perspective on Africa

This is Africa, a service from the Financial Times Ltd, examines African business and politics in a global context. It aims to challenge international preconceptions about the continent and to identify the opportunities and the risks in this dynamic business environment.

In addition, through FT Live, we provide events and conferences that bring business professionals together and deliver first class content relating to Africa. This is Africa equips senior decision makers with the knowledge to understand the evolution of African economies; to find partners and investments that match their criteria for return or for development and to position their brands to take advantage of the rise of the African consumer.

Regular features include:

  • Updates on foreign policy
  • Perspectives from leading thinkers on Africa
  • Interviews with global leaders
  • Analysis of major events and transitions
  • Features covering the major industry segments
  • Roundtable discussion & debate

Contact us on Africasustainability@ft.com or +44 (0)20 7775 6900 to purchase the Africa Sustainability Barometer data set.

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